Nepal’s poultry sector contributes more than Rs60.96 billion annually to the national economy, underscoring its growing importance within the agricultural sector, according to a government survey released on Friday.

The survey conducted by the National Statistics Office shows that broiler chicken production has reached 258,626 tonnes, generating revenue exceeding Rs57.86 billion. The data highlights broiler farming as the backbone of the country’s poultry industry.

Bagmati Province accounts for the largest share of production and revenue. The province recorded total poultry output exceeding 93,900 tonnes and earnings surpassing Rs21.95 billion, making it the highest contributor nationwide.

The survey’s reference year spans from January 1, 2024 to December 30, 2024.

Beyond broilers, meat from Giriraja and layer parent chickens generated more than Rs1.56 billion and Rs1.03 billion, respectively. Gandaki and Sudurpashchim provinces also reported notable incomes from Giriraja chicken production.

Total operational and capital expenditure in commercial poultry farming stood at around Rs79 billion during the review period. Feed purchase alone accounted for the largest share at Rs53.98 billion, reflecting the sector’s heavy dependence on feed inputs. This was followed by chick purchases worth Rs11.56 billion and spending on medicines, vaccines and pesticides totalling Rs2.55 billion.

Province-wise, Bagmati recorded the highest capital expenditure at Rs32.33 billion, followed by Gandaki at Rs10.86 billion and Lumbini at Rs10.35 billion. Karnali had the lowest capital investment at Rs1.30 billion, while Koshi and Madhesh provinces spent Rs8.92 billion and Rs9.56 billion, respectively.

Commercial poultry farming is happening in 75 out of Nepal’s 77 districts. Manang and Mustang do not have such activity.

A total of 22,928 farmers are engaged in commercial poultry farming across the country. Of them, 21,104 (92.05 percent) are involved in meat production, 1,706 (7.45 percent) in egg production, and 118 (0.55 percent) in chick production.

The sector directly employs 63,881 individuals, including 37,347 men (58.5 percent) and 26,534 women (41.5 percent), reflecting its role in rural employment generation.

Nepal’s total poultry population stands at 33.46 million birds, including 24.50 million broilers, 6.58 million layers, 407,104 Giriraja, 1.72 million parent or grandparent stock, and 250,680 of other breeds.

Access to finance remains uneven. The survey found that 8,559 farms had taken loans from financial institutions. Of these, 70 percent borrowed from banks and financial institutions, 24 percent from cooperatives, and 6 percent from other sources. Bagmati leads in financial access, where 2,095 out of 2,710 farms have secured loans from formal institutions.

According to the survey, 63.7 percent of farms are registered with at least one government agency. Ownership patterns show that 79.5 percent of farms are operated by men, while 20.5 percent are run by women. More than 98 percent of farms are individually owned.

In terms of business maturity, 11,905 farms have been in operation for 5–14 years, while 9,530 have been running for less than five years. Most poultry entrepreneurs fall within the 35–44 age group, accounting for 44.8 percent of operators, and 52.2 percent have attained secondary-level education.

Despite the sector’s growth, challenges persist. More than half of the farms—51.2 percent—reported poultry losses due to diseases and other factors in the reference year.

In total, poultry products worth Rs60.96 billion in meat, Rs14.82 billion in eggs, Rs10.22 billion in chicks, and Rs1 billion in manure were produced and sold. By the end of the reference year, farmers owned fixed assets worth Rs61.50 billion.

Insurance coverage remains critically low, with only 4.1 percent of farms insured. Among those that filed claims, just 56.9 percent received payouts. Similarly, only 5.6 percent of farms reported receiving subsidies over the past three years.

Infrastructure-wise, 96.4 percent of farms operate with separate commercial sheds. However, only 34.1 percent of farmers have received formal training related to poultry farming.

On waste management, 66.1 percent of farms bury dead poultry, 26.8 percent use them as animal feed, while smaller proportions dispose of them in waste containers or through other safe methods.

For 66.1 percent of farmers, poultry farming is their primary occupation. Looking ahead, 55.7 percent plan to continue their business as it is, while 35 percent aim to expand. A smaller share—3.2 percent—plans to reduce capacity and 6.2 percent farmers intend to shut down operations.

The main reasons cited for downsizing or closure include lack of market (45 percent), shortage of capital (20.5 percent), management issues (8.1 percent), and other constraints such as poor-quality chicks, low-quality feed, labour shortages and limited technical services.