An investment of around INR40 to 50 million is required in the meat and poultry processing sector, according to a senior official from the Ministry of Food Processing Industries (MOFPI), reports Economic Times.

MOFPI Secretary, Ashok Sinha, told reporters in New Delhi: "The meat and poultry processing industry requires an investment of Rs 4,000-5,000 crore."

Meat products are a price-sensitive commodity and we need to provide good hygienic products for which the consumer would not mind paying a little extra, he said on the sidelines of the Mayor's conference on meat and poultry sector.

Despite strong untapped potential, the sector has not been able to achieve the desired growth due to different marketing mechanisms, no value additions and low investment in processing facilities, he pointed out.

The sector needs to be modernised to increase the profits but immediate requirement is for the establishment of modern slaughter houses, Mr Sinha added.

Rupali Banerjee Singh, the Chief Executive Officer of the National Meat and Poultry Processing Board (NMPPB) supported Mr Sinha's comments and added that modernisation will not only boost the income levels in this sector but also expand the export base.

He said: "India has 3,600 registered slaughterhouses and 25,000 unregistered ones, but there are only five or six modern slaughter houses."

Elaborating on the investments in the meat and poultry sector, Mr Sinha said that about INR30 to 40 million would alone be required to develop modern slaughter houses all over the country.

Mr Sinha said: "These slaughter houses would not only be used for slaughtering animals but also to process the products and would be able to safely dispose the waste."

He said that the government was developing 10 modern slaughterhouses, of which three were almost complete and would start functioning very soon, reports Economic Times.

"The ministry will be submitting an elaborate investment plan to modernise the sector in the 12th five year plan proposals," Mr Sinha concluded.