‘Kashmir poultry sector slips from 85% self-reliance to import dependence’

Srinagar, Feb 11: The Federation of Chambers of Industries Kashmir (FCIK) has expressed concern over what it termed a steady and avoidable decline in Kashmir’s poultry industry, warning that a sector once close to self-sufficiency is now grappling with rising imports and shrinking local market share.

FCIK said that until 2014, Kashmir met nearly 85 per cent of its local chicken consumption through domestic production, attributing the achievement to calibrated policy interventions. Among the key measures, it cited the imposition of toll tax on imported poultry, which it said helped restore competitiveness for local producers while generating revenue for the exchequer. The abolition of tax on the import of one-day-old chicks also supported local production units.

According to FCIK, the policy framework weakened after 2014 and further eroded following the implementation of GST in 2017, which led to the abolition of toll and entry taxes. This, it said, resulted in a surge of outside poultry imports into the Valley.

“Local producers were left to compete directly with large outside suppliers without adequate policy safeguards,” FCIK said, adding that the outcome was a sharp decline in local market share.

The federation further noted that after the 2019 reorganisation, the situation worsened, particularly when dressed chicken from outside sources entered the Valley. It alleged that much of the product was sourced from unverified origins, raising concerns over hygiene and traceability. However, FCIK acknowledged that the present administration intervened after the issue surfaced and took steps to curb the practice.

FCIK maintained that with sustained support and infrastructure strengthening, Kashmir could have achieved full self-sufficiency and even developed surplus capacity for processing and exports. Instead, it said, the sector has slipped back into import dependence, affecting thousands of poultry farmers.

The federation said the poultry ecosystem currently includes over 7,000 producers across 10 districts, supporting livelihoods in allied sectors such as feed supply, transport, veterinary services and local trade.

While welcoming the Chief Minister’s recent budget emphasis on poultry development under the Holistic Agriculture Development Programme (HADP), FCIK stressed that revival efforts must prioritise existing stressed units.

It demanded the imposition of a cess on imported poultry equivalent to the earlier toll or entry tax, a permanent ban on dressed chicken imports on public health grounds, insurance coverage for farmers, credit at agricultural rates, establishment of local feed mills and hatcheries, and interest subvention to offset rising costs.

FCIK called for a structured revival mission aimed at regaining market share, building processing and cold-chain infrastructure, achieving economies of scale and preparing the sector for export-grade production.

It cautioned that delayed corrective action could result in the permanent loss of a strategic allied agriculture sector that had once demonstrated significant potential for rural employment and self-reliance.