24th JULY 2023 (HARYANA): India is one of the biggest producers and consumers of chicken products, and over the past few decades, the sector has been booming and expanding enormously. Two brothers from Tamil Nadu recognised the potential of this flourishing sector about four decades ago, but today it seems like everyone is hopping on board.
Suguna Foods Private Limited’s History
B Soundararajan and GB Sundararajan, two brothers from Udumalpet, Tamil Nadu, founded Suguna Foods Private Limited in Coimbatore in 1986. Initially, the business dealt in feed, healthcare items, poultry-related equipment, and chicks. However, the brothers discovered after three years in the trading company that many farmers were abandoning up farming because of the wide credit gap in the market. The brothers recognised a chance to assist these farmers by giving them the tools they required to breed hens.
With a turnover of about Rs 400 crore, the poultry sector was a modest one when they began their operation. With a turnover of Rs 45,000 crore and annual growth of 15%, the sector is significantly bigger today. It is not a straightforward business, though. The technique of breeding hens is entirely technological, and the cost of feed is high. According to the Economic Times, managing the nation’s more than 18,000 farmers, who speak various cultures and languages, is also a significant difficulty today.
Suguna Foods and Global Recognition
International organisations including the International Finance Corporation (IFC) and the Asian Development Bank (ADB) have taken notice of Suguna Foods’ innovative contract poultry farming business model and success story.
How Suguna Foods Survived the Covid-19 Lockdown
The emergence of the novel coronavirus in the wet market of Wuhan, China, in December 2019 had a profound impact on the global poultry industry. At the beginning of the pandemic, many people feared that the virus could be transmitted through meat, especially poultry. This led to a rapid decline in demand for poultry products, which hurt meat shop owners and poultry farmers alike.
In India, the poultry industry had to face hardships. The country is one of the world’s largest producers and consumers of poultry meat, and the industry employs millions of people. The lockdown that was imposed in India in March 2020 due to spread of virus that worse the situation further. Suguna Foods, a leading poultry company based in Coimbatore, Tamil Nadu was one of the poultry companies that was affected by the pandemic. Suguna Foods lost a significant amount of revenue during the lockdown. However, Suguna Foods was determined to overcome the challenges posed by the pandemic. The company took several steps to protect its employees and customers, including implementing strict hygiene protocols and testing all its chickens for the virus. Suguna Foods also launched several marketing campaigns to reassure consumers about the safety of poultry products. As a result of these efforts, Suguna Foods was able to gradually recover from the pandemic. The company’s sales have now returned to pre-pandemic levels, and it has even expanded its operations
