November 20, 2017

Speakers at Nigeria Poultry Show address threat of poultry smuggling
 

Nigeria's poultry farmers are fighting to keep the country's poultry sector from smugglers whose activities adversely impact the industry's longevity, Daily Trust reported. 

Smuggling has resulted in a glut of poultry products in the country while many farmers are concerned over a spike in the prices of raw materials, which have forced small businesses to shut down. Hence, a meeting at the Nigeria Poultry Show in Abeokuta, the Ogun State capital, involved discussions about these developments and ways to tackle them.

The focus of the three-day event was to explore ideas on protecting the Nigerian poultry industry from its demise and highlighting the critical role of the sector in the national economy and public health.

According to one of the event speakers, Ezekiel Ibrahim, the industry has been beleaguered by high loan interests, costly inputs, avian influenza outbreaks, multiple taxations, high electricity cost and smuggling.

Especially worrying, corn and soybean prices inflated by over 200% in the year under review without a corresponding increase in the selling price of poultry products. Avian influenza outbreaks in 2015 and 2016 - from which farmers did not receive compensations - added to a slew of problems which are close to overwhelming the industry, Ibrahim said. He further lamented the possible end of the Nigerian poultry sector as it would mean the loss of income for hundreds of Nigerians. 
 

Another speaker, Dr. Ayoola Odunta reiterated that smuggling is a paramount concern that could topple the industry if stakeholders and the government do not act.

75% of frozen chicken in Nigeria were actually smuggled products while a NGN2.5 billion (US$6.9 million) worth of unsold chickens produced by local farmers are left in cold rooms.

"Because of smuggled chickens, chickens grown by local farmers don't have enough market and there is a limit to which they can grow so most of them are dying in the farm because of excess weight," Dr. Odunta said. This troubling scenario therefore demands relevant parties to enforce the current law to suspend poultry product imports.

Dr. Olatunde Agbato, founder of Animal Care Services Konsult, brought up the dilemma stakeholders face: continual inflation and sales of poultry product which fail to catch up with price increase. Inevitably, farmers' margins gradually became thinner.

Dr. Agbato pointed out that "recurrent costs" exceed the selling prices of poultry products during the past two years, forcing farmers to shut their operations. "All of us in the poultry value web must urgently re-strategise. Otherwise, our ventures would suffer," he warned.

On the other hand, the potential downfall of the Nigerian poultry sector was actually allayed this year when local companies imported corn, which is a key raw material for the industry, Blessing Isioma Alawode, Ogun State chairperson, claimed. However, she called for immediate actions from relevant authorities as the industry is not yet out of the woods.

Ibrahim urged farmers to achieve efficiency in the management of poultry productions.

"Not only that, they should also try as much as possible to develop sustainable marketing plan in such a way that the issue of (poultry products) glut is reduced to the barest minimum," he said.

- Daily Trust