Coimbatore based exporter Suguna Poultry Farm Ltd would soon start operations in West Bengal. |
It was operating so long in six states in southern and western India. Suguna would setting up a network of offices at Kolkata, Bardhaman, Midnapore, Silguri, and North and South 24 Parganas. |
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Operations would begin later this month. |
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"Kerela and West Bengal are the highest meat consuming states of the country and West Bengal has a huge market of around Rs 800 crore", said Soundararajan , the managing director of Suguna. |
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The company will follow a contract farming method in its West Bengal operation. It will supply chicks, feed, medicine, technical support and guidance to mainly small and medium poultry farmers to grow the birds. |
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On maturity of the birds, the farmers will be compensated with a growing charge, around Rs 5 per bird or approximately 8 to 10 per cent of the cost. Marketing will be done through chain of traders. |
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The uniqueness of the model was that farmers could operate with no investment on their part, as all the costs would be borne by Suguna. They would also be protected against selling price or market risk. |
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Retailing under the brand ' Sugies' in South India , Suguna was also planning to set up a meat processing unit in West Bengal in a years time at an investment around Rs 15 crore. Within a period of three years, Suguna expected to tie up with at least 3000 contract growers. |
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The company was talking to State Bank of India and ICICI Bank for providing financial support to farmers and potential entrepreneurs in the integrated poultry business, added Soundararajan. |
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Exporting mainly to west Asia, Suguna said it expected exports to grow nearly 40 per cent from last year's level of Rs 50 crore. For West Bengal, its target was 35 lakh birds per week. |
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