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Livestock industrialization, trade and social-health-environment impacts in developing countries: a case of Indian poultry sector

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  • Mehta, Rajesh
  • Narrod, Clare
  • Tiongco, Marites

Abstract

This paper presents the results of an empirical study of the Indian Poultry Industry which is specially focused on the social and environmental outcomes generated by the rapidly increasing scale of egg and broiler production in India. Among the effects of these rapid changes that occurred in the poultry industry include increased risk for animal health, changes in demand patters in terms of amount, quality, and food safety, higher prices for high value items; but there is also a threat to smallholders that they will be excluded from more demanding markets. There are important questions, which have arisen with the industrialization of poultry activity in India. Is the scaling up of production driving small producers to disadvantage on account of high transaction costs, policy distortions and environment externalities? Why do some poultry farms have higher incomes than others? Do large farms earn more profit per unit of output than small farms? What explains the differentials in efficiency? An attempt is made here to take stock of these changes and to assess their social and environmental outcomes particularly those that affect the welfare of poor. The paper starts by examining the state of the Indian Poultry Industry, and then it goes in dealing with selected socio-economic, health, and environment changes that affect the competitiveness of livestock production including domestic institutional arrangement of food safety standards.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 32678.

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Date of creation: Dec 2008
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Handle: RePEc:pra:mprapa:32678

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Related research

Keywords: Indian poultry sector; livestock industrialization; competitiveness; transaction costs; environmental externalities; contract farming;

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  1. Ramaswami, Bharat & Birthal, Pratap Singh & Joshi, P.K., 2006. "Efficiency and distribution in contract farming: the case of Indian poultry growers," MTID discussion papers 91, International Food Policy Research Institute (IFPRI).
  2. Battese, G E & Coelli, T J, 1995. "A Model for Technical Inefficiency Effects in a Stochastic Frontier Production Function for Panel Data," Empirical Economics, Springer, vol. 20(2), pages 325-32.
  3. Delgado, Christopher L. & Narrod, Clare A. & Tiongco, Marites M. & Barros, Geraldo Sant'Ana de Camargo & Catelo, Maria Angeles & Costales, Achilles & Mehta, Rajesh & Naranong, Viroj & Poapongsakorn, N, 2008. "Determinants and implications of the growing scale of livestock farms in four fast-growing developing countries:," Research reports 157, International Food Policy Research Institute (IFPRI).
  4. Battese, George E., 1992. "Frontier production functions and technical efficiency: a survey of empirical applications in agricultural economics," Agricultural Economics: The Journal of the International Association of Agricultural Economists, International Association of Agricultural Economists, vol. 7(3-4), October.
  5. Fried, Harold O. & Lovell, C. A. Knox & Schmidt, Shelton S. (ed.), 1993. "The Measurement of Productive Efficiency: Techniques and Applications," OUP Catalogue, Oxford University Press, number 9780195072181, Octomber.
  6. Battese, George E., 1992. "Frontier production functions and technical efficiency: a survey of empirical applications in agricultural economics," Agricultural Economics, Blackwell, vol. 7(3-4), pages 185-208, October.
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