Saving Poultry Industry From Collapse

Nigeria’s poultry industry has been an essential pillar of the country’s economy, providing livelihoods for millions and ensuring a steady supply of affordable protein to its growing population through eggs and meat.

Findings show that Nigeria boasts of 180 million birds, a substantial increase from about 151 million birds in the past but in recent years, this once thriving industry has faced numerous challenges, pushing it perilously close to collapse with more than 25 million jobs in the sector value chain at stake.

Although the outbreak COVID-19 pandemic, high cost of feed, energy costs, insecurity and foreign exchange remain challenges that are threatening its survival but the sector holds so many potentials that can not be overlooked.

The poultry industry made significant contributions to the national economic development. The sector alone contributes 6.0 to 8.0 per cent to the GDP according to the Federal Ministry of Agriculture and Rural Development and has contributed an average of about 24 per cent to National GDP since 2018.

Sadly, Nigeria has experienced a significant decline in its poultry industry in recent years as data reveals alarming figures that requires immediate attention. According to the Nigerian Institute of Animal Science, between 2015 and 2020, the poultry sector’s contribution to the country’s total agricultural GDP dropped from 16 per cent to a mere 9 per cent. Additionally, the production of poultry meat and eggs reduced by 25 per cent and 35 per cent, respectively, during the same period.

This negative economic outlook for years has pushed the leadership of the Poultry Association of Nigeria (PAN ) to raised the alarm over the possible collapse of the sector due to inability to feed the birds and sustain businesses.

PAN in the statement jointly signed by its director-general, Dr Onallo Akpa and the national president, Sunday Ezeobiora, blamed the Central Bank of Nigeria (CBN ) for frustrating developments in the sector.

Although the association acknowledged recent government efforts especially the import restriction of frozen chicken which saw positive multiplier effects on the growth of the sector, it however said in the current dispensation and scheme of things, the poultry industry is being frustrated by the Nigeria Commodity Exchange (NCX) and the Strategic Maize Reserve (SMR) of the Central Bank of Nigeria (CBN).

According to them, the CBN had cancelled the allocation of 40,000 metric tons of maize to assist poultry production in the country and stopped poultry farmers from lifting the maize, the development which is majorly contributing to the high prices of maize in the markets.

“At the moment, the poultry industry in Nigeria is on the verge of total collapse if urgent intervention is not channelled to it without further delays, we are aware that the government have declared a state of emmergency on the food security situation of the country, but the situation of the poultry industry calls for an urgent intervention to save the industry from total collapse.

In order to salvage the poultry industry from the imminent collapse it is witnessing, the leadership of the poultry association of Nigeria prays as follows; “directing both the Nigeria Commodity Exchange (NCX) and the Central Bank of Nigeria (CBN) which manages the Strategic Maize Reserve Programme (SMRP) of the Central Bank of Nigeria (CBN) to FREE the allocations of 40,000 metric tons to the poultry industry through the Poultry Association of Nigeria (PAN)”.

“That the government should direct the Federal Ministry of Agriculture and Rural to release 20,000 Metric tons of maize from the Strategic Food Reserves of the ministry to the poultry industry through the Poultry Association of Nigeria at discounted prices so as to mitigate the current challenges to the poultry industry in the country”.

“That the allocations by both organisations should be at the rate (price) per metric ton that the allocations were made understanding that these organisations are to intervene in critical sectors of the economy for developmental purposes and not merchandise.”

The association further stressed that the poultry industry is the low hanging fruit to achieve the overall objectives of the Sustainable Development Goals ( SDG), and providing employments while producing affordable home grown proteins to Nigerians and therefore every effort and support should be given to the subsector to prevent it from collapse.

According to the Nigerian Institute of Animal Science, between 2015 and 2020, the poultry sector’s contribution to the country’s total agricultural GDP dropped from 16 per cent to a mere 9 per cent