More problems for Plateau poultry industry as business continues to crumble
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- Agribusiness Africa
- October 12, 2024
- News & Analysis
Plateau State, known for its robust poultry sector, has long been a key player in Nigeria’s agri-food industry, employing thousands and producing some of the country’s highest-quality eggs and poultry. However, the industry is currently facing a downturn, primarily due to skyrocketing feed prices and transportation costs, forcing many farmers to downscale or abandon their farms.
According to industry stakeholders, the high cost of maize and soybeans—critical components of poultry feed—has driven production costs upward, leading to sharp increases in the prices of poultry products. For instance, the price of a crate of eggs has risen from N3,000 to nearly N4,800, while broiler chickens, depending on age and size, can now cost between N6,000 and N10,000.
Farmers like Johnson Bagudu and Nanji Gambo-Oke of the Plateau State Poultry Farmers Association have expressed concerns about the sustainability of their businesses under these challenging conditions. They note that despite the recent maize harvest, feed prices remain high as only dry maize—available later in the year—can be used. Compounding this, the association’s Public Relations Officer, Solomon John, highlighted the issue of substandard feed in the market, as producers have lowered feed quality in response to high demand and scarcity.
Despite these difficulties, the poultry industry remains critical to Nigeria’s food security, providing essential protein sources such as eggs and poultry meat. The association is actively engaging with the government and other stakeholders, seeking interventions that could stabilize feed prices and improve the overall business environment for farmers. They are also exploring partnerships with feed millers to ensure consistent and high-quality supply.
As the sector navigates these turbulent times, the association is urging farmers to remain hopeful and resilient, with the expectation that the current economic challenges will eventually subside.
Source: Daily Trust
Expert Review:
The challenges facing Plateau State’s poultry industry are a microcosm of broader issues within Nigeria’s agricultural sector. With rising feed and input costs, this industry—which was once a significant employer and a backbone of food security—is now at risk. For agribusiness stakeholders, there are critical lessons to consider:
Feed Cost and Production Capacity: The sharp rise in maize and soybean prices illustrates the need for Nigeria to strengthen its value chains, particularly for raw materials essential to the poultry industry. Investments in domestic feed production can mitigate reliance on volatile markets, thereby stabilizing prices.
Supply Chain Efficiency: The poultry industry’s woes highlight inefficiencies in the supply chain, particularly in the storage and distribution of grains. The government and private sector should work together to establish better grain storage facilities and transport logistics to reduce post-harvest losses and transportation costs.
Policy Support and Financial Assistance: As the Plateau State Poultry Farmers Association is actively engaging with the government, this is an opportune time for policy makers to create targeted financial aid programs. Subsidized feed, access to affordable loans, and support for farm input costs could help farmers weather this economic storm.
Technological Solutions: Encouraging the adoption of precision agriculture technologies could help reduce waste in poultry farming. Efficient feed management, better farm practices, and access to affordable veterinary care could also improve productivity in the sector.
Community-Based Initiatives: Farmer cooperatives and community-led solutions can play a vital role in sustaining operations during tough times. Sharing resources, knowledge, and collectively bargaining for better feed prices or subsidies could help ease the burden.
Market Diversification: With rising production costs, there may be opportunities for farmers to diversify into alternative poultry products or value-added segments, such as organic or free-range poultry, which can fetch higher prices.
The poultry sector’s recovery will depend heavily on coordinated action among government agencies, industry associations, and private sector stakeholders. Despite the tough landscape, with the right interventions, Nigeria’s poultry industry could rebound, further strengthening the country’s food security.
The resilience of Plateau State’s poultry farmers amid rising costs underlines the importance of strategic interventions in Nigeria’s broader agricultural sector. Addressing supply chain challenges, providing financial support, and encouraging innovative practices will be essential for stabilizing and revitalizing this key industry.