Why are egg companies in Asia turning to cage-free?

Forbes recently published an article highlighting the revolution in egg production in Asia, with a focus on the transition to cage-free practices. 

The article explores how innovative initiatives, such as Happy Hens Farm, led by Manjunath Marappan, are transforming the sector with greater animal welfare and sustainability. Check out the article: 

Manjunath Marappan, founder of Happy Hens Farm, recalls the days when all chickens in India were cage-free, like those raised by his grandmother, who scratched for grain and worms in the backyard. 

However, since the 1980s, egg production in the country has changed. 

The increased demand for eggs and chicken meat led to an industrialization of production, concentrating it in small, confined spaces where the hens lost their freedom.

A return to their roots

Marappan believes that this transition has resulted in significant losses for consumers and producers. For him, reviving more traditional and ethical practices brings benefits such as better job opportunities, healthier food and improved animal welfare. 

Motivated by this vision, Marappan and his partner Ashok Kanna founded Happy Hens Farm in 2015, where all the chickens are free-range and live in a more natural way, with beaks and wings intact.

In 2024, Happy Hens Farm was internationally recognized by being presented with the Good Egg Award by Compassion in World Farming, making it the first Indian company to win this honour. 

Today, several farms in southern Indian states are part of its network, bringing together experienced and novice farmers who share knowledge and sustainable practices.

Impact on the local economy

As well as offering training and market support, Happy Hens Farm works with native chicken breeds, which are better adapted to life outdoors. 

The cage-free egg production model is less intensive than the industrial one, allowing small farmers to keep up to 3,000 birds on their farms, compared to 20,000 in industrial environments.

The company has also generated consistent income for local farmers. A farmer with 300 chickens can earn around 10,000 rupees a month, a significant income for small producers. 

Marappan points out that 100% of the eggs produced are sold, thanks to the adoption of an innovative program: cage-free credits.

What are Cage-Free Credits?

Launched by Global Food Partners, this system allows food and hospitality companies to offset the use of conventional eggs by directly supporting farms that produce eggs with animal welfare certification. 

Companies such as Unilever and Krispy Kreme have already joined the program, which connects buyers with producers in remote areas.

The program works like this: if a company is in a location where cage-free eggs are not available, it can pay Happy Hens Farm the difference between the price of conventional eggs and welfare-certified eggs, directly encouraging sustainable production.

Challenges and opportunities

Although there are challenges, such as predators and a higher risk of disease in open environments, Marappan believes that the model is viable and scalable. 

He sees cage-free credits as a short-term solution to create capacity and infrastructure, allowing for a gradual transition to a cage-free market.

The future of eggs in Asia

As more companies commit to global animal welfare goals, the demand for cage-free eggs is expected to grow. 

According to the CEO of Global Food Partners, Elissa Lane, Asia is an emerging market in this movement, with notable progress in countries such as China, Thailand and Indonesia.

Although cage-free credits are still a new concept, they have the potential to revolutionize egg production by encouraging ethical and sustainable practices, such as those at Happy Hens Farm, which is certified by the Certified Humane® seal, recognizing its high animal welfare standards.

Published on January 20, 2025