Pig system in Northeast India: An untapped opportunity for entrepreneurs

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Pig system in Northeast India: An untapped opportunity for entrepreneurs Ram Pratim Deka Scientist, Food Safety and Zoonoses program International Livestock Research Institute (ILRI) Seminar on enhancing the export of meat and meat products from Northeast India 25 June 2015 Organized by ICAR-NRCP & APEDA, Govt. of India

Transcript of Pig system in Northeast India: An untapped opportunity for entrepreneurs

Page 1: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Pig system in Northeast India: An untapped opportunity for entrepreneurs

Ram Pratim Deka Scientist, Food Safety and Zoonoses program

International Livestock Research Institute (ILRI)

Seminar on enhancing the export of meat and meat products from Northeast India25 June 2015

Organized by ICAR-NRCP & APEDA, Govt. of India

Page 2: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Greatest strength of pig system in NE India

• Largely deficit in terms of pig, piglets and pork/pork products

• Felt demand at the farm gate• Traditional custom, skill, knowledge, practice and

food habits are conducive for growth• Industrialization is not taking place (scope for

investment)

Page 3: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Pigs in North East India: an overview

• North East India produces 38% (3.95 m) of total pigs in India (10.29 million in 2012)

• Assam alone produces 16% of India’s pigs • Other NE states produce roughly <0.5 million each• About 45% pigs are crossbred (24% in India)• Pig population decreased by -11% in NEI during

2007 & 2012(-7% in India) • Tripura (37%) and Meghalaya (4%) are the main

gainers, Nagaland (-28%) & Assam (-18%) are the main losers

Page 4: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Pig population in NE India with indigenous and cross bred

Source: 19th Livestock Census, 2012, Govt. of India

Arunachal Pradesh

Assam Manipur Meghalaya Mizoram Nagaland Sikkim Tripura NE India0

500000

1000000

1500000

2000000

2500000

3000000

3500000

4000000

CrossbredIndigenousTotal

Page 5: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Pigs in NE India

• About 33% are cross bred (24% in India), result of indiscriminate cross breeding

• Cross bred population has grown by 10% in between 2007-2012 (3% in India)

• Mizoram, Nagaland and Sikkim have more than 40% cross bred each

• Manipur (47%), Tripura (43%) and Sikkim (28%) & are showing higher growth in crossbreeding

Page 6: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Monthly per capita consumption of pork (kg)

Arunach

al Prad

eshAssa

m

Manipur

Meghala

ya

Mizoram

Nagala

ndSik

kim

Tripura

NE India

India0.00

0.20

0.40

0.60

0.80

1.00

1.20

Series1

Source: Household consumption of goods and services in India, 2011-12, NSS, Govt. of India

Page 7: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Monthly per capita value of pork consumption (Rs.)

Arunach

al Prad

eshAssa

m

Manipur

Meghala

ya

Mizoram

Nagala

ndSik

kim

Tripura

NE India

India0.00

20.00

40.00

60.00

80.00

100.00

120.00

140.00

Series1

Source: Household consumption of goods and services in India, 2011-12, NSS, Govt. of India

Page 8: Pig system in Northeast India: An untapped opportunity for entrepreneurs

No. of households reporting consumption of pork (per 1000 households)

Arunach

al Prad

eshAssa

m

Manipur

Meghala

ya

Mizoram

Nagala

ndSik

kim

Tripura

NE India

India0.00

100.00

200.00

300.00

400.00

500.00

600.00

700.00

Series1

Source: Household consumption of goods and services in India, 2011-12, NSS, Govt. of India

Page 9: Pig system in Northeast India: An untapped opportunity for entrepreneurs

No. of pigs slaughtered in 2008-09 & 2012-13

Arunachal Pradesh

Assam Manipur Meghalaya Mizoram Nagaland Sikkim Tripura0

100

200

300

400

500

600

2008-092012-13

Source: Basic animal husbandry and fishery statistics, 2014, DAHD, Govt. of India

Page 10: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Pork production in NE India (‘000 tonnes)

Arunachal Pradesh

Assam Manipur Meghalaya Mizoram Nagaland Sikkim Tripura0

5

10

15

20

25

30

35

2008-092012-13

Source: Basic animal husbandry and fishery statistics, 2014, DAHD, Govt. of India

Page 11: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Production system

• 70-90% tribal rural households rear pigs• Herd size is largely 1-3• About 80-90% households rear pigs for fattening• Stall feeding: in Assam <10%, in other states

>80%

Page 12: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Breeds and breeding

• Black pigs (preferably Large Black) are more preferred by producers

• Artificial insemination is not practised in most part of the region

• Natural breeding is most predominant (but costlier)• Indiscriminate cross breeding occurs in the field• Every likelihood of inbreeding depression• Poor knowledge and capacity of breeding management• Pure indigenous is losing ground, needs conservation

Page 13: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Feeds and feeding

• Pigs are fed on household kitchen waste, residues of rice beer and jungle forages

• Concentrate feeding is not popular nor it is readily available (except in Mizoram)

• Wheat bran and rice polish are widely used as a purchased ingredient

• Cultivation of food-feed crops is not popular

Page 14: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Nutritional gap analysisParticulars DM CP ME

Average deficit in current feed 350 gm 114 gm 2.085 Mcal

Ideally, a supplementation ration should contain CP & ME to meet the nutritional gap through offering 350 gm DM

17% 32.57% 5.957 Mcal

Proposed supplementation ration contains (roughly)

20% 3.670 Mcal

Quantity of the proposed supplementation feed required to meet the gap of CP &ME

565 gm 568 gm

Average requirement of supplementation ration

566 gm

% of supplementation ration to the total feed required

28%

Source: Nutritional study report in Nagaland & Mizoram, ELKS, ILRI, 2013

Page 15: Pig system in Northeast India: An untapped opportunity for entrepreneurs

0

5

10

15

20

25

Piglets Growers Finishers Sows

CSF

Skin diseases

Parasitic infestation

Respiratory tract infection

FMD

Age categories

Num

ber o

f out

brea

ks

Non age-specific

Prevalence of diseases

Source: CSF epidemiological study in Assam, Nagaland & Mizoram, ELKS, ILRI, 2011

Page 16: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Health care • Poor access to veterinary services; only about 16.1%

of diseased pigs are treated by veterinarians• Majority of farmers (67.9%) treat their animals by

themselves • Vaccination against CSF and PRRS are not readily

available• Deworming is not done periodically• Hygiene and sanitation are very poor• Quarantine of diseased animals is not practised• Unrecovered diseases animals/ animals under

treatment are also sold by some producers

Page 17: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Scenario of pork market

• Largely dominated by pork from wet markets (about 95%)

• Availability of processed and frozen products is limited to a few major urban centres

• Demand for processed and frozen products is growing at a slower pace; hope to expedite

• Slaughtering and selling infrastructure is poor• More than 70% of pork retailers operate without

valid licences

Page 18: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Scope for export market

• Scope for export is largely limited by poor husbandry practices and prevalence of infectious diseases

• In SE Asia, pig system is more improved, equipped to follow international WTO regulations

• Scientific and industrial supply chains maintained by big companies

• Scope for supplying to Indian army is nil• In the immediate future, we should focus more

on domestic markets

Page 19: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Food safety & zoonoses

• Found higher microbial load in pork samples• Found antimicrobial residues in pork samples• Japanese encephalitis is endemic• Cysticercosis is understood to be a problem• Slaughtering and selling is unhygienic• Poor awareness about food borne diseases and

zoonoses

Page 20: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Hazard in raw pork produced in wet market

Hazard % samples positive

% samples with unsatisfactory level

Total aerobic bacteria 97.80 20.2Enterobacteriaceae 94.5 88.6Listeria spp. 39.6 2.3%Staphylococcus aureus 47.4 36.8Antimicrobial residue 4.5 4.5Cysticercus cellulosae 8.8 8.8Brucella suis Nil

Source: Pork safety study report in Nagaland, ELKS, ILRI, 2012

Page 21: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Market access

• Ready market at the farm gate (except remote hilly terrain)

• Excellent network of market agents and informants• Very vibrant market system in the villages• Market system seems efficient; about 80% of market

price goes to producers• Good demand for bristles (periodically) • Hidden expenses involved in transportation of pigs is

a major problem

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Market Efficiency of Pork Retailing

0.020.0

40.060.080.0

100.0120.0

Producer-Consumer

Producer-retailer-

consumer

Producer-wholesaller-

retailer-consumer

Market Channels

% o

f mar

ket c

ost

Profit

Tax & commissions

Slaughter & selling cost

Hidden expenses

Transportation & layrage

Farm gate price

Source: Pig appraisal report, Assam & Nagaland, 2007 & 2008

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Market Efficiency of Piglet Trading

0

20

40

60

80

100

120

Breeder-Rearer Breeder-Trader-Rearer

Breeder-Trader I -Trader II- Rearer

Market chains

% o

f mar

ket c

ost

Profit

Market cess

Trader-I

Hidden expenses

Transportation & layrage

Farm gate price of piglets

Source: Pig appraisal report, Assam & Nagaland, 2007 & 2008, ILRI

Page 24: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Key questions

• Can smallholders meet the growing demand?• Is there any scope for their transformation?• If not, what are the alternatives?• Should we ignore smallholders and follow the path

of industrialization?• Could there be a different independent approach?

Page 25: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Principles to follow for pig system development

• Two-pronged clear strategy – for smallholders – for industrial pig production

• Integration is another option• Industrial production means

– Higher initial investment on land and infrastructure– Integrated feed milling/procurement of concentrate– Food-feed crop cultivation– Higher biosecurity, periodic vaccination and deworming– Better germplasm/genetic material– Market linkages and linkages to credit and insurance

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Smallholders’ piggery development

• System approach for smallholders• Incremental change in whole system• Need-based capacity strengthening• Peoples’ motivation and participation • Simple, affordable and accessible knowledge and

technologies• Multi-stakeholder involvement• Market linkages • More research evidence for replication and policy

support

Page 27: Pig system in Northeast India: An untapped opportunity for entrepreneurs

Thank you