A country chicken unit needs money twice: once to start (shed, equipment, chicks) and then every week to run it (feed, vaccination, electricity). Below are worked examples for a backyard flock and for the 250-bird unit of Tamil Nadu's subsidy scheme, with a simple way to check whether the birds you sell can cover your costs. They are examples to learn from, not a promise of profit. Your own numbers will be different.
One-time costs to start
There is one official cost for a country chicken unit: Tamil Nadu's 2026-27 subsidy scheme puts a 250-bird unit at ₹2,93,750 (Tiruvarur). NABARD's 2026-27 unit-cost booklet for Tamil Nadu has no country chicken unit (NABARD).
| 250-bird unit, Tamil Nadu scheme, 2026-27 | Amount |
|---|---|
| Shed, feeder and drinker trays, and feed for the first 4 months | ₹2,93,750 |
| Subsidy from the state, paid after the unit is set up | ₹1,46,875 |
| Your share, from a bank loan or your own money | ₹1,46,875 |
| 250 chicks, 4 weeks old | Free in Mayiladuthurai's notice; ask in your district |
| Land for the shed: at least 625 sq ft of your own | Not in the cost |
The subsidy comes after the unit is built, so plan how you will pay the full ₹2,93,750 until it arrives (Policy Note 2026-27, Mayiladuthurai). See Country chicken subsidy, loans and insurance in 2026.
A backyard flock has no official unit cost. ICAR-DPR suggests 10–20 birds per household, as space and the food the birds find allow (ICAR-DPR). The main costs are a night shelter, made from local materials, and the chicks:
| Chicks | Price each | Where |
|---|---|---|
| Day-old country chick | ₹30 | TANUVAS farm, Tirunelveli, 2025-26 (TANUVAS) |
| Country chicks, 4–5 weeks old | ₹80–120 | TANUVAS centre, Trichy (TANUVAS) |
| Day-old Gramapriya, Vanaraja or Kadaknath | ₹21–40 | TANUVAS centre, Trichy |
| Day-old chicks of its varieties and breeds | ₹22–120, packing extra | ICAR-DPR, Hyderabad, 2024 list (ICAR-DPR) |
So 20 chicks aged 4–5 weeks from a TANUVAS centre cost about ₹1,600–2,400. Day-old chicks cost less but need weeks of brooding first: see Brooding country chicks: heat, feed, first 6 weeks.
Running costs
Feed is the biggest running cost.
- Birds raised for meat in a shed: on full feed, country chickens eat 3.5–4 kg of feed to reach 1.1–1.3 kg at 3–4 months (TANUVAS).
- What farmers spent: in a Namakkal study of farms with more than 50 desi birds, 41% of the farmers spent ₹29–50 on feed for every kg of live weight sold (TANUVAS study, 2021). Feed prices have risen since, so use your own.
- Backyard birds: birds that forage need only a top-up. ICAR-DPR advises 20–30 g of grain per bird each evening; for 20 birds that is about 12–18 kg of grain a month.
- Other costs: vaccination and vet care, litter such as rice husk or sawdust, electricity for brooding, and your own time.
- The 250-bird unit: the scheme's cost includes feed for the first 4 months only. After that, feed is yours to pay; keep money aside, or ask your bank about a Kisan Credit Card.
Income: what you can sell
The Tamil Nadu scheme's own plan shows where the money comes from: keep the hens for 72 weeks, use the eggs for hatching and eating, and sell day-old chicks, table eggs and grown birds for meat (Tiruvarur).
- Grown birds for meat. TANUVAS says shed-raised birds are sold at 3–4 months and 1.1–1.3 kg; in the Namakkal study, larger desi farms sold at about 6 months and 2 kg, and backyard keepers at about 8 months and 1.85 kg.
- Eggs. Country hens lay 60–70 eggs a year on a well-run farm (TANUVAS); in the Namakkal study the average was 51 on larger farms and 40 in backyards. TANUVAS's Tirunelveli farm sold country eggs at ₹10 each in 2025-26, a university farm's price, not a market survey.
- Chicks. If you hatch eggs, you can sell day-old or older chicks; the same farm sold day-old country chicks at ₹30 each. See Hatching country chicken eggs: broody hen, incubator.
- Manure. Use it on your own fields, or post a free ad for poultry manure.
What a bird sells for depends on its weight, type, the season and where you sell: see How to sell country chickens: age, price and safe payment. The box below shows asking prices in farmers' chicken ads on Kattutharai.
On Kattutharai, 1 Nov 2026
- Rooster · 2,598 adsSee ads →
- Coimbatore · 300 adsSee ads →
- Erode · 227 adsSee ads →
- Salem · 207 adsSee ads →
Asking prices in farmers’ ads, not market prices.
Sell your chickens on Kattutharai
Post a free ad with photos and a short video. Buyers near you call or chat with you directly. No commission.
Eggs or meat?
From country hens, eggs alone bring little. At ₹10 an egg, before the cost of her feed:
| Eggs from one country hen in a year | Eggs | At ₹10 an egg |
|---|---|---|
| Backyard, Namakkal study | 40 | ₹400 |
| Larger desi farm, Namakkal study | 51 | ₹510 |
| TANUVAS figure | 60–70 | ₹600–700 |
Many eggs also go back under a broody hen to hatch. So with country chickens, plan to earn mainly from birds sold for meat and from chicks, with eggs as a small extra. Improved varieties lay more: Gramapriya lays 160–180 eggs a year in backyards (ICAR-DPR). See Country chicken breeds: choosing birds for eggs or meat.
Will the birds cover the costs?
Before you buy chicks, work out the least each bird must bring in: what one bird costs you until it is sold, plus a share of the birds that die.
| Example: one bird raised for meat to about 1.2 kg | Low | High |
|---|---|---|
| Country chick, 4–5 weeks old, from a TANUVAS centre | ₹80 | ₹120 |
| Feed until sale, at ₹29–50 per kg of live weight | ₹35 | ₹60 |
| Cost of one bird | ₹115 | ₹180 |
Then allow for losses. In the Namakkal study, 83% of birds survived on larger farms and 57% in backyards (TANUVAS study, 2021). If 1 bird in 5 dies, the 4 you sell must also pay for the fifth: about ₹145–225 each. Add vaccination, litter and electricity on top.
For the 250-bird unit, add the loan. If you borrow your share of ₹1,46,875 and repay it over 5 years, the principal alone is about ₹29,400 a year, plus interest. Your sales of birds, eggs and chicks must cover that and the feed after the first 4 months.
If buyers near you pay less than your figure, change the plan before you spend: start smaller, let the birds forage, or sell at a different age.
Make your own budget
- Write down what you already have: land, a shelter, water, electricity, and family members who can help.
- Decide what you will sell: birds for meat, eggs, chicks, or a mix.
- Get local prices for chicks, feed, litter and shed materials.
- Count birds honestly: plan for losses and for fewer eggs than the best case.
- Keep feed money in hand until the first sales.
- Divide, compare with what buyers pay, and then decide.
What changes the numbers
- Feed: the biggest cost. NABARD's 2018 model for village birds expected vegetable waste, termites and azolla to cut the feed bill by more than half (NABARD, 2018). See Country chicken feed: evening grain, home mix, water.
- The chicks you buy: ICAR-DPR's day-old chicks range from ₹22 for Gramapriya to ₹120 for Aseel.
- Losses: every bird that dies is feed and money lost. See Brooding country chicks: heat, feed, first 6 weeks and Country chicken health: vaccination schedule and deworming.
- Age at sale: older birds weigh more but eat more.
- Bird flu: after an outbreak, birds may not move in or out of the area for up to 10 km around it, and poultry shops there close until culling and cleaning are over (Bird flu plan).
The project report your bank will ask for
NLM's model report for a poultry unit has these parts (NLM model report):
- About you: name, age, address, education, years of farming experience, Aadhaar, PAN and bank details.
- About the project: where it is, the land, water and electricity, and the birds you will keep.
- Money plan: your own share, the loan, and any subsidy.
- Costs: the shed, equipment and birds, and a year of running costs, with quotations.
- Income: birds, eggs and chicks you expect to sell, with the repayment plan.
NABARD's model expects your own share (margin money) of 10–25% and repayment over about 5 years (NABARD model, 2018). For farm loans up to ₹2 lakh, RBI has told banks not to ask for collateral or margin money (RBI, 6 December 2024).
Common mistakes
- Counting every chick as a sale: plan for losses.
- Forgetting the feed bill after the first months.
- Buying more chicks than your shelter, brooder and time can handle.
- Spending everything on the shed and keeping nothing for feed and vaccination.
- Borrowing more than your sales of birds, eggs and chicks can repay.
Frequently asked questions
How much does a 250-bird country chicken unit cost?
Tamil Nadu's 2026-27 scheme puts it at ₹2,93,750 for the shed, feeder and drinker trays, and 4 months' feed. If you are selected, half comes back as a subsidy after the unit is built.
How much does a backyard flock cost to start?
For 20 chicks aged 4–5 weeks from a TANUVAS centre, about ₹1,600–2,400, plus a night shelter and a little grain each evening.
Is country chicken farming profitable?
It can be, but nobody can promise it. It depends on what you pay for chicks and feed, how many birds survive, and the price you get. Do the break-even check with your own numbers before you buy.
How many eggs will my hens lay?
Country hens lay about 40–70 eggs a year; improved varieties lay more. Eggs alone bring little, so plan to sell birds for meat and chicks too.
Next
Read Country chicken subsidy, loans and insurance in 2026 for the subsidy, loans and insurance, and How to sell country chickens: age, price and safe payment for getting a fair price. When your birds are ready, post a free ad or look at chickens for sale.