Local agro-processing giant Pran plans to invest an additional Tk 600 crore in its poultry business within the next two years, responding to the country's growing demand for eggs and chicken.

Pran's existing poultry farm in Habiganj's Chunarughat area currently produces as many as 5 lakh pieces of eggs per day.

The company will allocate a large portion of the new investment to set up four advanced egg farms in Noakhali, Shariatpur, Chittagong and Mymensingh, with a combined daily production capacity of 20 lakh pieces of eggs.

Besides, Pran will invest in poultry breeding and white meat production.

"We are now in the process of acquiring land in Noakhali, Shariatpur, Chittagong and Mymensingh to set up four advanced egg farms," said Kamruzzaman Kamal, director of marketing at the Pran-RFL Group.

Kamal said that roughly Tk 400 crore will be invested in these egg farms, while an additional Tk 200 crore will be allocated to breeder and broiler farms.

He said that the breeder farm is expected to begin chick production this year, and the broiler farm for meat production is scheduled to begin operations next year.

Currently, Bangladesh eats away around 4.5 crore eggs per day, with production levels generally meeting this demand.

Small farmers produce nearly 80 percent of eggs and chickens, while large poultry corporations supply the remaining 20 percent, according to the Bangladesh Poultry Association, a platform of small poultry farmers and traders.

The association estimates that the production costs for small farmers are Tk 10.50-11.00 per egg and Tk 155-170 per kilogramme of chicken.

In contrast, large corporations benefit from economies of scale, reducing their production costs to Tk 8.00-9.00 per egg and Tk 130-140 per kilogramme of white meat.

The association alleges that these large poultry companies exert undue influence on retail prices.

However, Naser Ahmed, executive director of Pran, denied these allegations regarding corporate influence.

He said that egg production in conventional farms often declines during extreme temperatures, leading to increased chicken mortality and supply shortages. This, in turn, drives up retail egg prices.

But, Pran's fully automated egg production facilities, equipped with temperature control and minimal manual handling, ensure consistent production throughout the year, according to Ahmed, making the process more cost-effective.

According to industry insiders, the annual per capita egg consumption in Bangladesh was 104 in 2020. Currently, it stands at around 135, with projections indicating a further increase to around 160 by 2030.

Mamunur Rashid, chief operating officer for Livestock at Pran, said that they are constructing a state-of-the-art breeder farm and developing large-scale sheds for raising broiler chickens using cutting-edge technology.

"The procurement of machinery is currently underway. Once we successfully complete these initiatives, nearly 2,000 jobs will be created," he said.

Currently, around 18 corporate houses are involved in the production of poultry feed, eggs, day-old chicks and chickens.

Major local market players include Paragon Group, Kazi Farms, Diamond Egg Limited, CP Bangladesh, and Afil Group.