The Poultry Association of Nigeria (PAN) has attributed the continuous rise in egg prices to low production and high feed costs.
PAN Lagos State Chairman, Mr. Mojeed Iyiola, along with other industry stakeholders, discussed this issue in separate interviews in Lagos.
According to them, the price of eggs has skyrocketed, making this once-common source of protein unaffordable for many Nigerians. Currently, a crate of eggs sells for between N3,800 and N4,000 at the farm gate and over N4,500 in retail shops and markets, compared to N3,200 to N3,500 in May. Additionally, the price of a tonne of maize has doubled, now costing N800,000 compared to N400,000 in January.
Iyiola explained that the persistent hike in egg prices is due to scarcity.
“The reason for the current hike in the price of eggs is that eggs are very scarce now. Most farmers have sold off their old layers, and acquiring new stock is very expensive as the price of a day-old chick has become unbearable.
“Farmers who can buy day-old chicks are considered to be well-to-do. Also, a majority of our local farmers have shut down their farms due to the high cost of feed,” he stated.
he noted that presently, a kilogram of maize costs as high as N850 as against N400 to N500 that was being sold for at the beginning of the year.
“The same thing applies to soya and the groundnut cake, the prices have increased astronomically,” the PAN chairman said.
He, however, said that the increase in the cost of eggs is not commensurate to the rate at which the cost of feed materials is increasing.
“Most farmers are running at a loss. That is why the only existing farmers are trying to keep the sector running.
“Even if a crate of egg sells at N5,000, the farmers will only be managing to get by.
“We want to liaise with the food hub at Idi-Oro, our farmers are complaining that they can no longer afford to sell at a loss.
“We supply eggs at the farm gate at N3,800 per crate and with the same logistics we still sell at N3,800 at the hub. This means we are running at a loss.
“With all these incurred logistics expenses a crate of eggs should be sold for N4,500 at the food hub,” he said.
According to Iyiola, if the current trends continue unchecked, the poultry sector might collapse entirely. “It seems consuming eggs has become a luxury in our diets. We have scheduled a meeting with the government to tackle the situation because there is nothing an individual can do on this issue. We need government intervention,” he added.
Mr. Godwin Egbebe, the National Publicity Secretary of PAN, also highlighted that the rise in the cost of raw materials is a major factor in the increased egg prices.
“Early this month, a tonne of maize sold for N720,000, but as of today, June 12, 2024, it sells at N800,000. During former President Buhari’s administration, a tonne of maize was sold at N80,000.
The increment is over 1,000 percent, so you can see the reasons for the hike in poultry production costs.”
Egbebe stressed that immediate government intervention is essential.
He noted that the way forward is for the government to urgently bring in grains in the short term.
“In the long term, they should ensure that farmers can return to their farms safely.
Farmers are not producing enough grains due to insecurity. Palliatives are like a drop in the ocean; they make little to no impact,” he explained.
He noted that in some supermarkets, eggs are being sold for N5,000 and above.
“Every day, the price of feed changes. Farmers are selling at a loss. Most farmers are not breaking even and are closing their businesses. It’s no longer a joke,” he said.
