- Profit potential and reasons why the egg farming business is growing in India.
- Types of egg farming — backyard, commercial, and organic farming methods.
- Investment breakdown with setup, feed, and equipment costs for different scales.
- Space, infrastructure, and breed selection for higher egg production.
- Feeding, care, and disease prevention to maintain healthy flocks.
- Profit calculation, marketing tips, government subsidies, and common challenges faced in egg farming.
The egg farming business is growing rapidly in India due to the increasing demand for affordable, protein-rich food. With low startup costs, quick returns, and government support, many entrepreneurs — even beginners — are entering poultry farming for eggs. Whether you’re starting in a small backyard or building a commercial-scale farm, this guide will walk you through everything from investment to profit calculation in simple steps.
Why Egg Farming is a Profitable Business in India

- High demand – India consumes over 100 billion eggs annually.
- Low investment, high return – Egg production starts within 5–6 months of raising hens.
- Steady income – Eggs can be sold daily to shops, hotels, and households.
- Easy to scale – Start small and expand gradually.
- Government support – NABARD and state schemes offer subsidies for poultry farming.
Note: An average layer hen produces 250–300 eggs per year.
Types of Egg Farming in India
Type | Description | Suitable For |
Backyard Poultry Farming | Small-scale, low investment, using local breeds. | Rural households |
Commercial Poultry Farming | Large-scale, high-yield with modern equipment. | Entrepreneurs & investors |
Organic Egg Farming | Uses organic feed, no antibiotics, premium pricing. | Health-conscious markets |
1. Backyard Poultry Farming
- Traditional, small-scale method of egg farming.
- Involves keeping a few hens in a backyard or open space.
- Uses local or country breeds that are hardy and low-maintenance.
- Feed can include kitchen waste and locally available grains.
- Eggs are mainly for home consumption; extra eggs are sold in local markets.
- Very low investment, minimal infrastructure required.
- Best for rural households and small farmers.

2. Commercial Poultry Farming
- Large-scale, business-oriented egg production system.
- Houses hundreds to thousands of birds in poultry sheds.
- Uses high-yield layer breeds like ISA Brown and Hy-Line Brown.
- Requires proper housing (battery cages or deep litter system).
- Needs regular supply of quality feed, clean water, and lighting.
- Higher investment but produces 280–300 eggs per hen annually.
- Ideal for entrepreneurs and investors targeting high profits.
3. Organic Egg Farming
- Produces chemical-free, antibiotic-free eggs.
- Birds are fed organic feed and allowed outdoor access.
- No synthetic additives, growth hormones, or chemicals are used.
- Eggs sell at 30–50% higher prices in health-conscious markets.
- Requires following strict guidelines and sometimes certification.
- Focuses on animal welfare and eco-friendly practices.
- Best for farmers targeting premium urban and export markets.
Required Investment for Egg Farming Business
Expense | Approx. Cost (500 Birds) |
Land/Space Setup | ₹50,000 – ₹1,00,000 |
Poultry Shed & Equipment | ₹70,000 – ₹1,50,000 |
Chicks (Layer Breed) | ₹40,000 – ₹50,000 |
Feed (Monthly) | ₹25,000 – ₹35,000 |
Miscellaneous & Medicines | ₹5,000 – ₹10,000 |
Total Initial Investment | ₹1.9 – ₹3.4 lakh |
Tip: Buying chicks in bulk directly from hatcheries reduces cost per bird.
Space & Infrastructure Requirements

- Land – 1–1.5 sq. ft. per bird for cage system, 2–3 sq. ft. for deep litter system.
- Ventilation – Proper airflow to avoid diseases.
- Lighting – 16 hours of light daily increases egg production.
- Water supply – Continuous access to clean drinking water.
- Waste disposal system – Prevents smell and disease spread.
Best Egg-Laying Breeds in India
Breed | Eggs Per Year | Highlights |
ISA Brown | 300+ | High productivity |
Hy-Line Brown | 280–300 | Low feed cost |
White Leghorn | 250–280 | Strong shells, lightweight |
Rhode Island Red | 250+ | Hardy in different climates |
Feeding & Care
- Balanced diet – Protein (16–18%), calcium for strong shells.
- Vaccination – Protects from common poultry diseases like Newcastle disease.
- Clean water – Prevents infections and boosts egg quality.
- Regular health check-ups – Early detection saves the flock from large losses.
Egg Production & Income Calculation
Example: 500 Layer Hens
- Average production: 80% = 400 eggs/day.
- Selling price: ₹5 per egg.
- Monthly income: ₹60,000.
- Monthly expenses (feed, medicines, labour): ₹25,000.
- Net profit: ₹35,000/month.
Marketing Strategies for Egg Farming Business
- Tie-up with grocery stores, hotels, restaurants, and bakeries.
- Sell through wholesale egg markets.
- Brand your farm as organic/free-range for premium pricing.
- Use social media marketing to reach direct customers.
- Offer home delivery in local areas.
Government Support & Subsidies
- NABARD Poultry Loan Scheme – Up to 25–33% subsidy for poultry infrastructure.
- State Animal Husbandry Departments – Various financial aids.
- Mudra Loans – For small entrepreneurs without collateral.
Challenges in Egg Farming

- Disease outbreaks are reducing productivity.
- Feed price fluctuations.
- Market price instability.
- Need for continuous management and monitoring.
Key Takeaways
- The egg farming business offers high returns with low investment.
- Good breed selection, proper feeding, and disease control are the keys to success.
- Marketing and branding can significantly boost profits.
- Government subsidies make it easier to start.
Conclusion
Starting an egg farming business in India is a smart move for anyone looking for a steady and profitable venture. With rising demand, affordable startup costs, and multiple selling options, you can quickly turn this into a sustainable income source. Proper planning, hygiene, and marketing are your golden eggs for success.
Explore more blogs to boost your farming knowledge and make smarter agri-business moves.
FAQs
Around ₹2–3.5 lakh for 500 birds.
250–300 eggs, depending on breed and care.
ISA Brown and Hy-Line Brown are highly recommended.
At around 20–22 weeks of age.
Yes, especially due to low land costs and local market demand.
2–3 weeks at room temperature; longer if refrigerated.
Small farms generally don’t, but large commercial farms may require local authority permissions.
Yes, through farmers’ markets, online platforms, and door-to-door sales.
Yes, as organic eggs can be sold at higher prices.
Diseases, feed costs, and market price fluctuations.