Poultry farmers alarmed by rising costs, warn of job losses, chicken scarcity

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By Jeph Ajobaju, Chief Copy Editor

Scarcity of chicken and eggs looms to reduce the intake of protein because of the rising cost of feed that has slashed poultry production and now threatens 10 per cent job losses in the sector as operators pull out.

Poultry Association of Nigeria (PAN) Lagos Chapter Chairman, Godwin Egbebe, who gave the warning, said the scenario will become reality if the rising cost of poultry feed and other problems are not addressed by the federal government.

“If the growing price of poultry feed and a host of other challenges in the sector continue, 10 per cent of Nigerians may lose their jobs as poultry farmers continue to shut down across the country.

“The situation on the ground is that the poultry sector is actually at risk because of the growing prices of poultry feed,” he told the News Agency of Nigeria (NAN).

“The situation has made a lot of poultry farmers to close shop because of the problems in the sector.”

Egegbe said some farmers have called it quits and are advertising to sell off their cages because they want to close their businesses.

He added: “It is like they are not taking us seriously the way they take the problems in the cattle sector.

“The kind of employment the poultry sector gives to Nigeria, the cattle sector cannot give such [yet] the government is not taking the poultry sector seriously.

“We want the government to do all they can to intervene in the sector so that these poultry farms do not become grounded. If they fail to do it, about 10 per cent of the population will lose their jobs.”

Prices cannot keep on rising, Egebe insisted, as customers are barely managing to buy poultry products because of high prices leading to an egg glut in the market.

CBN intervention

Nairametrics reported in June that the Central Bank of Nigeria (CBN) tried to crash the price of maize by releasing 50,000 metric tonnes (mt)  to 12 major producers from the strategic maize reserve (SMR) under its Anchor Borrowers’ Programme (ABP).

The CBN said the release was to moderate price, and expressed hope that the action, the third of such, would check middlemen who cause hoarding and artificial scarcity.

PAN requests poultry feed imports

A letter PAN President Onallo Akpa wrote to President Muhammadu Buhari in July last year led to the CBN approving emergency importation of 262,000 metric mt of maize.

PAN urged Buhari to allow guided importation of maize in order not to shut down poultry businesses since farmers rely heavily on maize to feed chickens, per Nairametrics.

PAN urged the government to

·        Direct the Ministry of Agriculture and Rural Development to release 300,000 mt of maize and 10,000 mt of soyabeans to PAN at subsidised rates to keep the poultry industry afloat.

·        Do a guided importation of maize so as not to shut down the poultry industry. PAN requested 2,100 mt of Feed Grade Maize of 2,100 mt and 10,000 mt soyabeans.

·        Allow poultry farmers import maize and soyabean and make them available to their members. The importation will serve their needs for five months.

·        Make $70 million available in foreign exchange (forex) at the prevailing exchange rate for the importation of Feed Grade Maize and soyabeans.

·        Grant import duty and Value Added Tax (VAT) exemptions to sustain poultry production and stabilise protein supply.

·        Halt the export of ‘critical commodities’ to neighboring countries to ensure food security for Nigerians.

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