PHOTO: ANP
COUNTRY FOCUS ▶▶▶
Nigerian poultry farmers suffer due to high feed costs
The poultry industry in Nigeria – one of its most vibrant agricultural sectors – is on the verge of collapse. As the average price of feed ingredients has risen by over 168% in the last three years some farmers are walking away from their livelihoods, as profits drop and security risks remain high.
BY MOSES AREMU T
he consumption of poultry meat in Nigeria in 2021 was estimated to be over 200,00 tonnes with a 4.5% increase compared to 2019. The demand for poultry meat in Nigeria, which the United Nations Food and
Agricultural Organization notes is a significant protein source for over 200 million people, has led to increased demand for feed by poultry producers in the country. However, inflation in the price of feed in Nigeria has led to producers’ falling behind in poultry production with most complaining that the profits earned are not enough to sustain their businesses. A market survey by the Centre for Journalism and Innovation Development (CJID) showed, on average, the cost of 25 kg of poultry feed (made mainly from maise, soybean, wheat and millet), rose from 3,600 (US$ 10, esti- mate based on free market exchange rate in 2019) in 2019 to between 8,500 (US$ 20.41, estimate based on present free market exchange rate) and 10,000 (US$ 24.02) in July 2022.
Scarcity of feed ingredients “We cannot meet the demand from poultry farmers because most grains are in the hands of merchants who are hoarding them for more profit,” says Dr Abubakar Bello Funtua, national president of the Maize Association of Nigeria (MAAN). There has been a persistent shortage in Nigeria of the two most essential ingredients in poultry feed production, maize and soybean, which is one of the main reasons for the increase in feed costs in the country. According to the United States Department of Agriculture (USDA), Nigeria increased its maize production from 12.4 million tonnes in 2020 to 12.7 million tonnes in 2021. However, domestic production was still insufficient for poultry feed producers as Nigeria still had to import over 500,000 tonnes of maize for two years to help meet local demand.
Increase in export of soybeans Soybeans, a primary ingredient used in poultry feed that provides an inexpensive and high-quality source of protein, are scarce and expensive in Nigeria, too. Director-General of the Poultry Association of Nigeria (PAN), Onallo Akpa, com- plained how the price of soya has increased by 100-120%. He states that of 900,00 tonnes produced annually according to the country’s Soybean Association, merchants export about 40-50% of that to other countries, either as seed or soya milk. He further explains that soya amounts to almost 25% of the input for poultry feed but is not currently available in the country today.
Security issues Idowu Asenuga, chairman of the Poultry Association of Nigeria (PAN), states that the recent impact of the various kidnapping incidents in the country has taken its toll on poultry producers’ businesses as well. He indicates that the situation which was already bad, has become worse because most of the people abducted provide employment which leads to farm staff refusing to go to work after their employer has been kidnapped and eventually leads to starvation of the birds. In Kaduna state, responsible for growing most of the grains used in poultry feed production, a report showed that insecurity is scaring farmers into not leaving the safety of their homes, affecting the availability of grain within the country. The State Security report noted that over 937 people had been killed and 3,348 people abducted in 2021.
▶ POULTRY WORLD | No. 6, 2022 29
Even though de- mand for poul- try products is high, making a profit is almost impossible due to high feed prices.
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36
