Concerns have been expressed by the Lagos State chapter of the Poultry Association of Nigeria (PAN) and other important industry players on the rising cost of raw materials for egg production, which is substantially raising the price of eggs. In reaction, PAN is calling on the federal government to step in and stabilize the market, giving poultry producers’ much-needed respite.
The Chairman of PAN, Mr. Mojeed Iyiola, highlighted that the persistent increase in the price of raw materials, especially those used for bird feed, is at the heart of the problem. According to him, the price of a crate of eggs continues to rise due to the high cost of inputs. “The price of a crate of eggs keeps getting expensive because of the high cost of raw materials,” Mr. Iyiola said. He acknowledged that, while the government has shown support through measures such as the allowance for maize importation, this has not resulted in the desired drop in feed prices.
The issue extends beyond maize, which constitutes around 60 to 65 percent of feed production. Mr. Iyiola explained that other essential ingredients like soya, methylene, lysine, and premix remain costly, further compounding the burden on poultry farmers. “This is because other raw materials for the formulation of bird feeds are not being subsidized at all,” he stated. Despite a slight reduction in maize prices, the overall cost of bird feed remains prohibitively high due to these other inputs. This ongoing challenge has led to a significant strain on poultry farmers, who are struggling to stay afloat as production costs continue to surge.
The cost of eggs has increased significantly as a result of these growing expenses; a crate currently sells for at least N5,000, while smaller-sized eggs cost between N4,300 and N4,500. Mr. Iyiola voiced his worry that the poultry business would have more challenges in meeting the rising demand for poultry products in the absence of significant and ongoing government support. The sustainability of chicken farming as a whole is in jeopardy due to the failure to lower production costs, which has also had an impact on egg prices.
The ongoing rise in feed costs is part of a broader issue within Nigeria’s poultry industry. In 2023, the sector witnessed the closure of over 50 percent of its farms, largely due to the soaring cost of production. This has significantly reduced the capacity of local farmers to meet the demand for poultry products. Mr. Iyiola emphasized that, unless more robust government support is provided—particularly through the subsidization of critical feed inputs—the industry could face even more severe disruptions.
The PAN Chairman underscored that while the maize importation policy has had a minor positive impact, it is insufficient on its own. Other raw materials essential for poultry feed production must also be made more affordable through government subsidies. Consistent government intervention, he stressed, is crucial not only for the recovery of the poultry industry but also for its long-term sustainability.
The poultry industry in Nigeria is at a critical juncture. With production costs continuing to rise and egg prices becoming increasingly unaffordable, both farmers and consumers are feeling the strain. The Federal Government’s timely intervention through targeted subsidies and support could help stabilize the market and ensure that the poultry sector remains viable, thereby safeguarding food security and the livelihoods of millions of Nigerians involved in poultry farming.
