Poultry Feed Manufacturing Plant Project Report 2025: Industry Trends, Plant Setup, Machinery, Raw Materials, Investment Opportunities, Cost and Revenue

Poultry Feed Manufacturing Plant Project Report 2025: Industry Trends, Plant Setup, Machinery, Raw Materials, Investment Opportunities, Cost and Revenue

Report Format: PDF+Excel | Report ID: SR112025A8451

Report Overview: 

IMARC Group’s report, titled “Poultry Feed Manufacturing Plant Project Report 2025: Industry Trends, Plant Setup, Machinery, Raw Materials, Investment Opportunities, Cost and Revenue,” provides a complete roadmap for setting up a poultry feed manufacturing plant. It covers a comprehensive market overview to micro-level information such as unit operations involved, raw material requirements, utility requirements, infrastructure requirements, machinery and technology requirements, manpower requirements, packaging requirements, transportation requirements, etc. The poultry feed project report provides detailed insights into project economics, including capital investments, project funding, operating expenses, income and expenditure projections, fixed costs vs. variable costs, direct and indirect costs, expected ROI and net present value (NPV), profit and loss account, financial analysis, etc.

Poultry Feed Manufacturing Plant Project Report

What is Poultry Feed?

Poultry feed is a specially formulated mixture of ingredients designed to meet the nutritional needs of domestic birds such as chickens, ducks, turkeys, and geese. It typically includes grains like corn and soybean meals, along with essential vitamins, minerals, and sometimes animal protein or additives to promote growth and egg production. The feed comes in various forms including mash, pellets, and crumbles to suit different bird ages and production purposes. Proper poultry feed ensures healthy development, improved immunity, and optimal productivity in poultry farming. It is essential for the effectiveness and profitability of the poultry sector.

Poultry Feed Manufacturing Plant: Key Highlights

  • Process Used: Feed milling process.
  • End-use Industries: Poultry farming, meat processing, egg production, and animal husbandry sectors
  • Applications: Used in broiler growth, layer hen egg production, breeder nutrition, and overall poultry health management

A poultry feed manufacturing plant is a production facility for high-end poultry feed manufactured through grinding, mixing, pelleting, and drying. These types of plant, specifically designed to produce poultry feed, include significant quality control and management systems and abilities because poultry growth depends upon the nutritional balance of the feed preparations and to ensure the feed is safe. The essential design elements of a poultry feed plant are hammer mills, mixers, pelleted, cooling, and storage silos. In the poultry feed industry, hygiene, environmental control and production workflows must be managed properly to conform to industry standards and to prevent contamination. Poultry feed feeds the poultry farming sector and provides feed formulations that ensure poultry achieves its growth potential and highest levels of egg and meat reduction.

Poultry Feed Industry Outlook 2025:

The poultry feed market is witnessing significant expansion driven by the growing global demand for poultry products (meat and eggs) as well as the continued consumer preference for protein-based diets and the growth of poultry farming in developing areas globally, resulting in an increasing demand for quality and nutritionally balanced feeds. Innovations in feed formulations, such as the inclusion of probiotics and organic ingredients, are improving the health and productivity of poultry. The rising awareness around animal nutrition and stricter regulations around feed safety are also paving way for the development of new age feed solutions. Additionally, increased investments in poultry infrastructure and the growing size of commercial poultry operations across the globe are creating further support for this market. In July 2023, Amul Dairy, an Indian dairy cooperative, announced the launches of poultry feed production lines to expand its operations and its feed production capacities across several regions in India.

Poultry Feed Market Trends and Growth Drivers:

Significant growth trends in the poultry feed industry

The poultry feed market grew dramatically in 2022, with the market total reaching US$ 76.9 billion, a massive 67 percent increase over 2021, per the USDA. This is due to increasing poultry production around the world as consumer demand grows for affordable sources of protein. Growing awareness of poultry nutrition and improvements in feed formulations also influence the market. The rise of commercial poultry farming in North America, Africa and much of Asia also contributed to market development as did government support in many areas. Overall, the poultry feed industry will continue to be important to the development and sustainability of the global poultry industry moving forward.

Government initiatives driving expansion

The Government of India's Department of Animal Husbandry and Dairying has been running the National Livestock Mission (NLM) across the country since 2021. An important aspect of this initiative is the NLM-Entrepreneurship Development Programme (NLM-EDP), which offers a 50% capital subsidy, up to a maximum of INR 50 Lakh, specifically for setting up poultry breeding farms and feed and fodder production units. This financial support aims to encourage investment and stimulate growth in India's poultry feed sector, addressing the existing demand and supply imbalance, as poultry feed constitutes a significant portion of the livestock industry.

Latest Industry Developments:

  • March 2025: Indian Poultry Alliance (IPA), part of the Allana Group, made a significant move in the poultry and animal nutrition sector by acquiring Kwality Animal Feeds Pvt. Ltd. for Rs. 300 crores. Alongside the acquisition, IPA announced an investment of Rs. 200 crores for expansion, underscoring its commitment to growth and consolidation within India’s poultry industry.
  • September 2024: PoultryTechBangladesh joined forces with Quick Chicks, Provita, Paragon, and Nourish to boost investment facilitation, provide technical support, and enhance co-financing efforts aimed at strengthening Bangladesh’s poultry sector.
  • April 2024: India achieved a record export of 48.86 tonnes of oilmeal, primarily used as animal feed, during the 2023-24 financial year, driven by the revival of soybean meal shipments.

Leading Poultry Feed Manufacturers:

Leading manufacturers in the global poultry feed industry include several multinational companies with extensive production capacities and diverse product portfolios. Key players include:

  • Cargill Inc.
  • Charoen Pokphand Foods PCL
  • SHV (Nutreco NV)
  • Land O Lakes Inc.
  • De Heus BV

all of which operate large-scale facilities and serve end-use sectors such as poultry farming, meat processing, egg production, and animal husbandry sectors.

Poultry Feed Plant Setup Requirements

Detailed Process Flow:

The manufacturing process is a multi-step operation that involves several unit operations, material handling, and quality checks. Below are the main stages involved in the poultry feed manufacturing process flow:

  • Unit Operations Involved
  • Mass Balance and Raw Material Requirements
  • Quality Assurance Criteria
  • Technical Tests

Key Considerations for Establishing a Poultry Feed Manufacturing Plant:

Setting up a poultry feed manufacturing plant requires evaluating several key factors, including technological requirements and quality assurance. Some of the critical considerations include:

  • Site Selection: The location must offer easy access to key raw materials such as maize (corn), soybean meal, wheat, barley, rice bran, fish meals, vitamins, minerals, oils, and other protein and energy supplements. Proximity to target markets will help minimize distribution costs. The site must have robust infrastructure, including reliable transportation, utilities, and waste management systems. Compliance with local zoning laws and environmental regulations must also be ensured.​
  • Plant Layout Optimization: The layout should be optimized to enhance workflow efficiency, safety, and minimize material handling. Separate areas for raw material storage, production, quality control, and finished goods storage must be designated. Space for future expansion should be incorporated to accommodate business growth.​
  • Equipment Selection: High-quality, corrosion-resistant machinery tailored for poultry feed production must be selected. Essential equipment includes grinding mills, mixers, pelletizers, coolers, conveyors, storage silos, and packaging machines. All machinery must comply with industry standards for safety, efficiency, and reliability.​
  • Raw Material Sourcing: Reliable suppliers must be secured for raw materials like maize (corn), soybean meals, wheat, barley, rice bran, fish meal, vitamins, minerals, oils, and other protein and energy supplements to ensure consistent production quality. Minimizing transportation costs by selecting nearby suppliers is essential. Sustainability and supply chain risks must be assessed, and long-term contracts should be negotiated to stabilize pricing and ensure a steady supply.
  • Safety and Environmental Compliance: Safety protocols must be implemented throughout the manufacturing process of poultry feed. Advanced monitoring systems should be installed to detect leaks or deviations in the process. Effluent treatment systems are necessary to minimize environmental impact and ensure compliance with emission standards.​
  • Quality Assurance Systems: A comprehensive quality control system should be established throughout production. Analytical instruments must be used to monitor product concentration, purity, and stability. Documentation for traceability and regulatory compliance must be maintained.

Project Economics:

​Establishing and operating a poultry feed manufacturing plant involves various cost components, including:​

  • Capital Investment: The total capital investment depends on plant capacity, technology, and location. This investment covers land acquisition, site preparation, and necessary infrastructure.
  • Equipment Costs: Equipment costs, such as those for grinding mills, mixers, pelletizers, coolers, conveyors, storage silos, and packaging machines, represent a significant portion of capital expenditure. The scale of production and automation level will determine the total cost of machinery.​
  • Raw Material Expenses: Raw materials, including maize (corn), soybean meals, wheat, barley, rice bran, fish meal, vitamins, minerals, oils, and other protein and energy supplements, are a major part of operating costs. Long-term contracts with reliable suppliers will help mitigate price volatility and ensure a consistent supply of materials.​
  • Infrastructure and Utilities: Costs associated with land acquisition, construction, and utilities (electricity, water, steam) must be considered in the financial plan.
  • Operational Costs: Ongoing expenses for labor, maintenance, quality control, and environmental compliance must be accounted for. Optimizing processes and providing staff training can help control these operational costs.​
  • Financial Planning: A detailed financial analysis, including income projections, expenditures, and break-even points, must be conducted. This analysis aids in securing funding and formulating a clear financial strategy. 

Capital Expenditure (CapEx) and Operational Expenditure (OpEx) Analysis:

Capital Investment (CapEx): Machinery costs account for the largest portion of the total capital expenditure. The cost of land and site development, including charges for land registration, boundary development, and other related expenses, forms a substantial part of the overall investment. This allocation ensures a solid foundation for safe and efficient plant operations.

Operating Expenditure (OpEx): In the first year of operations, the operating cost for the poultry feed manufacturing plant is projected to be significant, covering raw materials, utilities, depreciation, taxes, packing, transportation, and repairs and maintenance. By the fifth year, the total operational cost is expected to increase substantially due to factors such as inflation, market fluctuations, and potential rises in the cost of key materials. Additional factors, including supply chain disruptions, rising consumer demand, and shifts in the global economy, are expected to contribute to this increase.

Poultry Feed Manufacturing Plant

Capital Expenditure Breakdown:

Particulars Cost (in US$)
Land and Site Development Costs XX
Civil Works Costs XX
Machinery Costs XX
Other Capital Costs XX


Operational Expenditure Breakdown:

Particulars In %
Raw Material Cost XX
Utility Cost XX
Transportation Cost XX
Packaging Cost XX
Salaries and Wages XX
Depreciation XX
Other Expenses XX


Profitability Analysis: 

Particulars Unit Year 1 Year 2 Year 3 Year 4 Year 5
Total Income US$ XX XX XX XX XX
Total Expenditure US$ XX XX XX XX XX
Gross Profit US$ XX XX XX XX XX
Gross Margin % XX XX XX XX XX
Net Profit US$ XX XX XX XX XX
Net Margin % XX XX XX XX XX


Report Coverage:

Report Features Details
Product Name Poultry Feed
Report Coverage Detailed Process Flow: Unit Operations Involved, Quality Assurance Criteria, Technical Tests, Mass Balance, and Raw Material Requirements 
 
Land, Location and Site Development: Selection Criteria and Significance, Location Analysis, Project Planning and Phasing of Development, Environmental Impact, Land Requirement and Costs 
 
Plant Layout: Importance and Essentials, Layout, Factors Influencing Layout 
 
Plant Machinery: Machinery Requirements, Machinery Costs, Machinery Suppliers (Provided on Request) 
 
Raw Materials: Raw Material Requirements, Raw Material Details and Procurement, Raw Material Costs, Raw Material Suppliers (Provided on Request) 
 
Packaging: Packaging Requirements, Packaging Material Details and Procurement, Packaging Costs, Packaging Material Suppliers (Provided on Request) 
 
Other Requirements and Costs: Transportation Requirements and Costs, Utility Requirements and Costs, Energy Requirements and Costs, Water Requirements and Costs, Human Resource Requirements and Costs 
 
Project Economics: Capital Costs, Techno-Economic Parameters, Income Projections, Expenditure Projections, Product Pricing and Margins, Taxation, Depreciation 
 
Financial Analysis: Liquidity Analysis, Profitability Analysis, Payback Period, Net Present Value, Internal Rate of Return, Profit and Loss Account, Uncertainty Analysis, Sensitivity Analysis, Economic Analysis 
 
Other Analysis Covered in The Report: Market Trends and Analysis, Market Segmentation, Market Breakup by Region, Price Trends, Competitive Landscape, Regulatory Landscape, Strategic Recommendations, Case Study of a Successful Venture 
 
Currency US$ (Data can also be provided in the local currency) 
Customization Scope  The report can also be customized based on the requirement of the customer 
Post-Sale Analyst Support   10-12 Weeks
Delivery Format PDF and Excel through email (We can also provide the editable version of the report in PPT/Word format on special request) 


Report Customization

While we have aimed to create an all-encompassing poultry feed plant project report, we acknowledge that individual stakeholders may have unique demands. Thus, we offer customized report options that cater to your specific requirements. Our consultants are available to discuss your business requirements, and we can tailor the report's scope accordingly. Some of the common customizations that we are frequently requested to make by our clients include:

  • The report can be customized based on the location (country/region) of your plant.
  • The plant’s capacity can be customized based on your requirements.
  • Plant machinery and costs can be customized based on your requirements.
  • Any additions to the current scope can also be provided based on your requirements.

Why Buy IMARC Reports?

  • The insights provided in our reports enable stakeholders to make informed business decisions by assessing the feasibility of a business venture.
  • Our extensive network of consultants, raw material suppliers, machinery suppliers and subject matter experts spans over 100+ countries across North America, Europe, Asia Pacific, South America, Africa, and the Middle East.
  • Our cost modeling team can assist you in understanding the most complex materials. With domain experts across numerous categories, we can assist you in determining how sensitive each component of the cost model is and how it can affect the final cost and prices.
  • We keep a constant track of land costs, construction costs, utility costs, and labor costs across 100+ countries and update them regularly.
  • Our client base consists of over 3000 organizations, including prominent corporations, governments, and institutions, who rely on us as their trusted business partners. Our clientele varies from small and start-up businesses to Fortune 500 companies.
  • Our strong in-house team of engineers, statisticians, modeling experts, chartered accountants, architects, etc. has played a crucial role in constructing, expanding, and optimizing sustainable manufacturing plants worldwide.

Need more help?

  • Speak to our experienced analysts for insights on the current market scenarios.
  • Include additional segments and countries to customize the report as per your requirement.
  • Gain an unparalleled competitive advantage in your domain by understanding how to utilize the report and positively impacting your operations and revenue.
  • For further assistance, please connect with our analysts.
Poultry Feed Manufacturing Plant Project Report 2025: Industry Trends, Plant Setup, Machinery, Raw Materials, Investment Opportunities, Cost and Revenue
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Frequently Asked Questions

Capital requirements generally include land acquisition, construction, equipment procurement, installation, pre-operative expenses, and initial working capital. The total amount varies with capacity, technology, and location.

To start a poultry feed manufacturing business, one needs to conduct a market feasibility study, secure required licenses, arrange funding, select suitable land, procure equipment, recruit skilled labor, and establish a supply chain and distribution network.

Poultry feed production requires raw materials like grains (e.g., maize, wheat), protein sources (soybean meal, fish meal), vitamins and minerals, and additives (like enzymes or amino acids) to ensure balanced nutrition. The mix varies based on poultry type and growth stage.

The poultry feed factory typically requires grinders or hammer mills for crushing raw materials, mixers for uniform blending, pellet mills or extruders for forming feed pellets, and coolers and dryers to reduce moisture. Additional equipment includes weighing, packing, and storage systems.

The main steps generally include:

  • Raw material procurement and inspection

  • Grinding of ingredients to uniform size

  • Mixing to blend all components evenly

  • Pelleting to form feed pellets

  • Cooling and drying

  • Sieving to ensure consistency

  • Packaging and storage for distribution

Usually, the timeline can range from 12 to 18 months to start a poultry feed manufacturing plant, depending on factors like covering equipment procurement, installation, facility setup, staff training, and regulatory approvals. Smaller plants may be ready sooner, while larger ones could take longer.

Challenges may include high capital requirements, securing regulatory approvals, ensuring raw material supply, competition, skilled manpower availability, and managing operational risks.

Typical requirements include business registration, environmental clearances, factory licenses, fire safety certifications, and industry-specific permits. Local/state/national regulations may apply depending on the location.

The top poultry feed manufactures are:

  • AFGRI Animal Feeds

  • Alltech

  • Archer-Daniels-Midland Company

  • BASF SE

  • Cargill Inc.

  • Charoen Pokphand Foods Public Company Limited

  • Chr. Hansen Holdings A/S

  • De Heus Animal Nutrition

  • ForFarmers N.V.

  • Kent Nutrition Group (Kent Corporation)

  • Koninklijke DSM N.V.

  • Novus International Inc. (Mitsui & Co. (U.S.A.) Inc.)

Profitability depends on several factors including market demand, production efficiency, pricing strategy, raw material cost management, and operational scale. Profit margins usually improve with capacity expansion and increased capacity utilization rates.

Cost components typically include:

  • Land and Infrastructure

  • Machinery and Equipment

  • Building and Civil Construction

  • Utilities and Installation

  • Working Capital

Break even in a poultry feed manufacturing business typically range from 3 to 5 years, depending on factors like investment size, production capacity, market demand, and operational efficiency. Effective marketing and cost control can speed up this timeline.

Governments may offer incentives such as capital subsidies, tax exemptions, reduced utility tariffs, export benefits, or interest subsidies to promote manufacturing under various national or regional industrial policies.

Financing can be arranged through term loans, government-backed schemes, private equity, venture capital, equipment leasing, or strategic partnerships. Financial viability assessments help identify optimal funding routes.