The Poultry Association of Nigeria (PAN) has revealed that over 30% of poultry farms across the country have closed in the past six months due to significant challenges in the sector. This closure rate was disclosed by PAN’s National Publicity Secretary, Mr. Godwin Egbebe, during an interview with the News Agency of Nigeria (NAN) in Lagos on Tuesday.
Egbebe attributed the shutdowns primarily to exorbitant operational costs, which have also led to a nationwide increase in egg prices. He emphasized the severity of the situation, stating that the government needs to be aware of the hardships faced by poultry farmers.
Rising Costs and Ineffective Palliatives
“The disbursement of palliatives is not alleviating the ills in the sector; we seek sustainable solutions to the problems on the ground,” Egbebe said. He pointed out that the palliatives often end up in the wrong hands, failing to reach legitimate farmers who desperately need support. Many farmers are abandoning the sector because they cannot afford the escalating costs, with some selling their cages and farms.
Feed Costs and Transportation Issues
Egbebe identified the rising cost of feed as a significant challenge. He explained that the price of poultry feed has been increasing steadily, putting immense pressure on farmers and making it difficult to sustain their operations. “As of two weeks ago, we bought 25kg of feed at N14,300, and just this past weekend, it is now N14,800. Early this year, we bought a bag for N12,000 and it sold for N9,000 last year. The increment is affecting the sector.”
Transportation costs are also a major concern, as they contribute to the rising price of poultry produce. These combined factors are forcing many farmers to close their operations.
Impact on Egg Prices and Food Costs
The closure of poultry farms has led to a significant increase in egg prices. Nairametrics reported a 25% increase in egg prices over the last few months, attributed to the scarcity of eggs following farm closures and rising costs of maize and soya, key ingredients in poultry feed production. This spike in egg prices is part of a broader trend, with the prices of various food products also increasing sharply. For instance, the price of beans increased by 70% between April and May 2024, and there has been a 100% increase in the price of staple foods across the country.
Call for Sustainable Solutions
Egbebe and PAN are calling for more effective and sustainable solutions to address the challenges facing the poultry sector. The rising costs and operational difficulties not only threaten the livelihoods of poultry farmers but also impact food security and prices for consumers nationwide.