Complete Analysis of Taiwan's Pigeon Racing Industry Chain: From Breeding and Training to the Trading Market

Pigeon racing in Taiwan is not just a sport but a massive gray industry with an estimated annual value ranging from NTD 20 billion to 90 billion, supporting hundreds of thousands of people. This industry chain is highly specialized and structurally complex, forming a closed-loop ecosystem that spans from frontline breeding and reproduction, midstream training and management, to downstream competitions and trading markets. This article provides a comprehensive analysis of this little-known industry chain.

I. Upstream Industry: Breeding and Reproduction

The starting point of the industry is the 'breeding pigeon.' A pigeon with excellent bloodlines and a record of glorious race achievements or a champion family background is a loft's most valuable asset. Global trade in breeding pigeons is very active, with sky-high price records occurring from time to time. For example, in 2020, a Belgian hen named 'New Kim' was auctioned for 1.6 million euros (approximately NTD 56 million). Taiwanese pigeon enthusiasts also actively import top bloodlines from racing powerhouses like Belgium and the Netherlands, hoping to breed offspring that can excel in Taiwan's harsh ocean racing conditions.

Breeding is a profound science. Breeders need to make precise pairings based on the racing system (e.g., headwinds in northern Taiwan, long distances in the south), weather characteristics, and the bloodlines, physique, bone structure, and eye signs of the cock and hen. Successful breeders are like biotechnology experts, and the high-quality young pigeons they produce can generate initial income through 'advance leg ring sales' or 'young pigeon trading' even before they race.

II. Midstream Industry: Training, Rearing, and Loft Management

About a month after hatching, young pigeons are fitted with exclusive electronic leg rings for identification and begin a series of strict training regimens. The training phase includes:

• Loft Flying Training: Familiarizing young pigeons with the loft environment, establishing the concept of 'home.'
• External Training: Transporting pigeons by truck to release points at varying directions and distances, starting close and gradually increasing range, to train their navigation and homing abilities. The attrition rate during this process is high, with about 30% of pigeons lost due to disorientation, illness, or capture by nets set up for ransom.
• Ocean Training Releases: Simulating formal races to gradually acclimatize pigeons to the environment and stress of flying over the sea.

Simultaneously, professional rearing management is crucial, involving nutritionally balanced feed formulas, disease prevention and healthcare, and sanitary loft environment control. Many professional lofts even employ psychological tactics like the 'Widowhood System' or 'jealousy methods' to stimulate the pigeons' desire to return home. Participants at this stage include professional trainers, veterinarians, feed and nutritional supplement suppliers, and loft construction material and equipment vendors, forming a professionally divided system.

III. Downstream Industry: Race Organization, Betting Pool Flow, and Trading Markets

This is the core segment where industry value is realized, primarily consisting of the following layers:

1. Grassroots Unit: The Loft: The actual competing and investing unit. Structures vary, from independent owners to partnership models where investors and shareholders provide capital, entrusting management to professional coaches. Major financial backers often remain behind the scenes.
2. Organizational Unit: The Racing Club: The organizer of the races. There are about 80 regularly operating clubs across Taiwan. Clubs are responsible for setting the race schedule, selling leg rings, collecting bets, organizing races, verifying pigeons, and distributing prizes. The vast majority of clubs are not formally registered, operating in a legal gray area. Club revenue mainly comes from commissions on leg ring sales and a cut of the betting pool (typically 10%).
3. Support Unit: Racing Pigeon Fleets: Due to the high cost of going to sea, clubs jointly hire specialized racing pigeon transport fleets. Fleets are responsible for safely transporting all competing pigeons to offshore release points on race days and providing live-streaming services. The fleets themselves have become a specialized sub-industry.

Capital Flow and Trading Markets: The industry's enormous capital flows primarily through two channels: first, the aforementioned betting pools and prize distribution; second, the trading market for the pigeons themselves.

• Auction Market: After a race concludes, winning pigeons are usually subject to mandatory auctions organized by the club. The auction proceeds are split between the owner and the club according to a set ratio (commonly 60-70% to the owner, 30-40% to the club). A grand champion or 'Pigeon King' can fetch auction prices ranging from hundreds of thousands to millions of NTD.
• Private Transactions: Breeding pigeons with excellent bloodlines, promising young pigeons, or race performers are bought and sold privately among enthusiasts or through brokers.
• Peripheral Industries: The industry chain also drives the development of a series of peripheral service sectors, including electronic timing systems, GPS trackers, anti-cheating technology, race live-streaming platforms, and specialized pigeon racing media.

IV. The Industry's Gray Nature and Social Controversies

Although Taiwan's pigeon racing industry chain is vast and professional, its core funding source—the massive 'dark pool' betting—places it in a long-term association with 'gambling,' on the borderline of legality. Furthermore, the racing system results in extremely high pigeon mortality rates (return rates often below 5%), and the potential use of banned substances or psychological manipulation during training raises serious animal welfare concerns. These controversies keep the entire industry, while visible, exceptionally secretive and difficult for mainstream society to fully accept and regulate.