Asia’s Cage Free Journey: Industry Perspectives on Evolving Egg Production Systems
As of 2018, Asia produced 60% of the world’s eggs, primarily using cage-based systems. Although this method remains prevalent, increasing concerns about animal welfare and a rising consumer demand for cage-free eggs are driving interest in alternative farming systems.
Egg production in Asia
- Global leader: As of 2018, Asia produced 822 billion chicken eggs annually—60% of global production.
- Industrialized systems: Most hens are kept in caged production systems.
Barriers to change
- Perceived economic losses
- Concerns over biosecurity and disease management
- Lack of local evidence on transition feasibility
Despite the belief that transitioning to cage-free systems may result in financial losses and decreased hygiene, producers in six Asian countries—China, Japan, Indonesia, Malaysia, the Philippines, and Thailand—are increasingly exploring the feasibility of this shift.
This study (2022) examines their views on conventional versus cage-free systems, the challenges they encounter during the transition, and the types of support they believe are necessary.
- The findings aim to inform future initiatives that could promote and facilitate a shift towards more welfare-oriented egg production in the region.
Concerns for animal welfare have become a global trend, fueled by increasing public awareness, advances in scientific understanding, and changing priorities within the livestock industry.
- In Asia, industry leaders see better animal welfare as both ethically sound and commercially beneficial—boosting productivity, quality, and market appeal. Collaborating across the supply chain is key to driving these improvements.
- Demand for cage-free eggs is growing in Asia, though adoption remains limited as many producers continue to use cage systems. Still, the trend shows increasing openness to more animal welfare-friendly practices.
RESEARCH OBJECTIVES
The study aims to explore producers’ views across China, Indonesia, Japan, Malaysia, Philippines, and Thailand. Data collection took place between January and June 2021.
Key areas explored
- Reasons for using cage vs. cage-free systems
- Perceived feasibility of adopting cage-free systems
- Challenges associated with cage-free adoption
- Proposed solutions to those challenges
- Types and sources of support needed by producers
Participant overview
- Total recruited: 224 egg producers across Asia
- Completed responses: 202
- Cage system users: 165
- Cage-free system users: 37
- Country breakdown (cage producers):
- Indonesia (103), China (22), Thailand (12),
- Philippines (10), Japan (10), Malaysia (8)
The study collected insights from egg producers across the six Asian countries using a mixed-methods approach that integrated both quantitative and qualitative data.
- Tailored, translated questionnaires were distributed by email, covering both cage and cage-free systems.
- Clear definitions of cage and cage-free systems were given to ensure all participants shared the same understanding. Data were standardized and analyzed through thematic coding, identifying key trends across responses while highlighting frequently mentioned concerns and suggestions.
WHY CAGE SYSTEMS PREVAIL
The study found that most egg producers preferred cage systems for their operational efficiency and economic advantages, especially when compared to cage-free alternatives.
- These systems are easier to manage, produce cleaner eggs, require less land per bird, and yield higher egg output overall.
Key benefits of cage systems
- Operational ease: Streamline management and egg collection
- Cost reduction: Lower operating costs than cage-free systems
- Higher yield
- UK study: Cage systems produce 5-7 more eggs annually
- Africa: Slightly better economic efficiency (0.92 vs 0.89)
- India: Notable cost-efficiency advantages
- Space efficiency: Better land utilization for large-scale production
Profitability concerns with cage-free systems
Economic challenges
- Higher operating costs:
- Cage-free systems (eg aviaries) cost up to 23% more to operate
- Profit reduction: top concern among producers globally
- Consumer impact:
- Price spikes after cage bans, such as in California
- Mixed economic analyses—some studies suggest long-term benefits could outweigh costs
Transitioning to cage-free systems is often viewed as financially unviable by producers, primarily due to increased costs and lower margins.
Mortality and experience in cage-free systems
Despite initial concerns about transitioning to cage-free systems, such as higher hen mortality and limited producer experience, evidence suggests that these diminish over time.
- As producers gain familiarity with cage-free operations, hen mortality rates decline—typically by 0.35-0.65% annually.
- Over time, this improvement leads to parity in flock health between cage-free and caged-based systems, indicating that with proper support and adaptation, the long-term viability of cage-free egg production becomes increasingly comparable.
- Producers cite a lack of experience and higher mortality rates in cage-free systems as transition barriers. However, there are some likely positives to the transition.
Regional specificity: Asia’s context
Despite global interest in cage-free practices from western countries are not always applicable to Asia due to regional factors and limited research.
Insights from China
- Financial concerns: Cage-free seen as unprofitable
- Low social pressure: Minimal consumer domestic push for animal welfare
- Land constraints: Despite vast territories, scale of production makes cage-free land planning difficult
Biosecurity and disease control
Disease dynamics
- Cages limit horizontal transmission of pathogens like salmonella and campylobacter
- Manure removal belts can reduce bacterial presence
- Egg cleanliness: No significant difference after washing between cage and cage-free systems
Disease prevention remains a second major challenge in cage-free adoption
SHIFTING CONSUMER PREFERENCES
However, while producers still prioritize operational concerns, consumer views are shifting toward animal welfare and health related perceptions.
Producers vs consumer perspectives
- Producers associate cage systems with egg hygiene and safety
- Consumers often equate cage-free systems and organic methods with better health outcomes and ethics
- Traditional/native breeders preferred in Asia for perceived natural benefits
Survey data from four Asian nations
- Animal welfare matters:
- China: 72%
- Malaysia: 73%
- Philippines: 77%
- Thailand: 78%
- Preference for cage-free eggs:
- China: 65%
- Malaysia: 69%
- Philippines: 71%
- Thailand: 68%
GROWING INTEREST IN CAGE-FREE SYSTEMS
While cage systems continue to dominate across Asia, producers now show tentative openness toward transitioning to cage-free systems. Two-thirds of respondents said cage-free systems were “yes” or “maybe” feasible.
Top benefits of cage-free systems identified
A notable 93.4% of respondents could name at least one benefit of cage-free systems.
Key advantages
- Improved animal welfare: Most universally accepted benefit
- Market expansion: Access to wider, ethically-conscious consumer bases
- Brand enhancement: Stronger brand identity tied to welfare credentials
- Product quality: Higher consumer trust and perception
- Reduced infrastructure costs: Compared to cage system, cage-free farms may require less initial investment
The exception was in Thailand where 75% of respondents did not find cage-free systems feasible. This might be linked to the country’s massive cage-based layer hen population.
In a paper published in 2022, Sinclair et al noted that livestock producers in Asia increasingly recognize that better welfare is not just ethically sound—it brings practical advantages too, including:
Contradicting cost perceptions
There is, however, a bit of contradiction in how respondents view the financial aspects of cage-free farming. On one hand, many cited “cost savings” as a reason to adopt cage-free systems. On the other hand, “reduced profitability” was also recognized as a key challenge.
- Digging deeper into these responses, it becomes clear that when respondents refer to cost savings, they often mean the lower upfront investment needed to establish a cage-free farm compared to the higher setup costs of caged-based systems.
- This distinction helps explain why cost savings are seen both as a motivator and a hurdle. While cage-free systems might offer relief in terms of infrastructure expenses, their long-term profitability remains a concern due to operating costs.
To weigh these factors more accurately, the study compared its findings with an earlier analysis by livestock industry stakeholders that ranked the importance of the benefits associated with improving farm animal welfare. This comparative approach helps clarify how financial considerations play out between the two systems (See Table below).
Table 1. Comparison of the perceived benefits in improving animal welfare in a previous study with livestock leaders in Asia1 in relation with Asian egg producers in the 2022 study
SOLUTIONS
Thus, transitioning from cage to cage-free egg production presents several challenges. However, some potential solutions have been identified to ease this shift.
As noted earlier, the key concerns of cage producers:
- Loss of profitability due to lower returns from cage-free operations,
- Higher costs including both direct costs (eg infrastructure) and indirect costs like disease prevention and control, and
- Lower efficiency as cage-free systems are perceived to be less productive.
To address these hurdles, multiple strategies have been recommended:
- Industry and market development – Growth in demand for cage-free products can support higher sales and better price points, easing profitability concerns.
- Training and technical support – Educating producers through best-practice training and tailored technical advice helps improve farm efficiency and management in cage-free systems.
- Investments in cage-free optimization: Resources to improve the design and operation of cage-free farms can boost long-term performance and sustainability.
These ideas echo findings from a qualitative study in China, where producers suggested that marketing higher welfare eggs to domestic consumers, exploring context-appropriate cage-free systems, and introducing regulatory guidance and producer training could help smooth the transition.
BRIDGING THE KNOWLEDGE GAP
- Some of the producers that participated in the study may not fully understand what a commercial cage-free farm involves, particularly systems like barns or aviaries. This gap in understanding contributes to uncertainty around disease control and bird health.
- Improving awareness of what cage-free egg farms look like—and how they can function successfully at a commercial scale— could play a vital role in supporting the transition away from cage systems.
- Many perceive cage-free setups as offering less control over bird health and biosecurity, with concerns around disease prevention and treatment emerging as a common barrier.
- These challenges, however, can be addressed through the use of demonstration farms that showcase effective management and biosecurity practices within cage-free environments. By seeing these systems in action, producers may better understand how health and safety can be maintained without cages.
- Additionally, the adoption of technology and innovation was suggested as a practical solution. Tools designed to monitor bird health, manage environmental conditions, and enhance disease control could help mitigate risks associated with cage-free systems.
- Further research to identify what technologies producers have in mind would be valuable, paving the way for more targeted support and investment.
