April 27, 2023

South African egg farmers face rising production costs, association says

The South African Poultry Association (Sapa) warned it is becoming increasingly more expensive for farmers in South Africa to produce eggs.

The variable costs to produce an egg, including electricity, fuels and feed, have increased from 70% to 80% in a span of a few months, the association added. These soaring costs have severely impacted egg production and packing in South Africa. They have also forced many producers, particularly small producers, and some pack stations to exit the industry.

Sapa confirmed that the entire value chain has been affected by high costs and loadshedding, especially at primary egg production level, with the day-old pullets hatched expected to decline by 35% and the point of lays hens replacement to be 11% lower.

The association is nonetheless confident that resilient egg producers will continue to meet consumption demand.

- Engineering News