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Poultry farmers, others lament egg price hike, seek FG intervention

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6 months ago

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The Poultry Association of Nigeria (PAN), Lagos State, and other stakeholders in the sector have lamented the incessant hike in the price of egg just as they called for the Federal Government’s intervention.

They also lamented that egg which used to be the cheapest source of protein was getting out of the reach of many Nigerians.

They said this in separate interviews with the News Agency of Nigeria (NAN) on Sunday in Lagos.

The Chairman, Poultry Association of Nigeria (PAN), Mr Mojeed Iyiola, blamed the price hike on the high cost of raw materials for bird feed.

“The price of a crate of egg keeps getting expensive because of the high cost of raw materials. Despite all the government’s support and the open window for the importation of maize, the prices of feeds are not even going down at all.

“This is because other raw materials for the formulation of bird feeds are not being subsidised at all.

“Although maize takes between 60 and 65 per cent of feed production, other materials are on the high side.

“We still pay high prices for materials like soya, methylene, lysine and premix. So, the intervention of government has not even reflected at all on the price of poultry produce,” Iyiola said.

The PAN chairman said the least price of a crate of eggs from the farm gate was N5,000.

“We sold eggs in commemoration of the World Food Day on the 16th of October at the least price of N5,000 per crate.

“The incessant price hike has made the business tiring for most poultry farmers.

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“The least price for a crate of eggs goes for between N4,300 and N4,500, and this is the smallest size. While regular crates of eggs sell at N5,000 and above.

“However, the price of maize has come down to between N750,000 and N800,000 per tonne as against N900,000 and N1,000,000 it was sold for a month ago,” he said.

Other stakeholders and traders of the produce blamed the lack of proper egg production infrastructure, human factors, economic constraints, and environmental factors as reasons for the dire situation for egg sellers and consumers.

Mrs Taiwo Bashiru, an egg seller at the Boundary Market, told NAN that she had been in the egg business for a long time.

Bashiru said the price of eggs had skyrocketed like never before.

“I have sold eggs for over 10 years, but never have I seen prices skyrocket like this.

“Demand is high, especially among low-income households. The major challenge we face is inconsistency in supply due to feed costs and transportation expenses,” Bashiru said.

Ms Bummi Olayinka, another egg seller, lamented that inflation had impacted the poultry industry.

Olayinka lamented that a crate of eggs which was sold at N4,600 three months ago had risen to N5,600 depending on the location.

“The increase is attributed to the surge in poultry feed prices, transportation costs due to rising fuel prices, and high maintenance costs for birds.

“These factors have compounded production costs, pushing egg prices higher,” Olayinka said.

A consumer, Mrs Ajoke Folorunsho, said the nutritional value of eggs to human diet was enormous and as such, it should be the most affordable protein everyone should afford.

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“Egg should  be  affordable as it is rich in protein. My family loves them boiled. However, the price hike has taken a toll.

“I buy eggs regularly, but the prices have gone up significantly and many families can no longer afford it,” she said.

Another consumer, Mrs Ifeoma Okoli, lamented that many Nigerians were finding it difficult to include protein in their food.

Okoli noted that the prices of meat, fish, beans and eggs had skyrocketed in the recent time.

“They are talking of eating one egg daily, how many families can afford it with the challenges in the country.

“A crate of eggs is between N5,900 and N6,000, while an egg is sold for N250 to N300 depending on the location,” she said.

On her part,  Mrs Adegbite Samiat, an egg depot owner at Amuwo Odofin, called for the government’s intervention on the sector.

“Government support for poultry farmers will help stabilise prices.

“Disease outbreaks affect egg production significantly as well. If the government provides vaccines and medication, it will reduce the risks,” Adegbite said. (NAN)

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Double-digit GDP growth necessary to achieve $1trn goal – UBA GMD

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1 day ago

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April 15, 2025

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Group Managing Director, United Bank for Africa (UBA), Mr Oliver Alawuba, has said Nigeria requires a double-digit Gross Domestic Product (GDP) growth to achieve the projected one-trillion dollar economy target by 2030.

Alawuba made this remark on Monday in Abuja, at the ongoing 36th Edition of the Finance Correspondents and Business Editors Association of Nigeria Seminar, organised by the Central Bank of Nigeria (CBN).

The theme of the seminar is, “Playing the Global Game: Banking Recapitalisation Towards a One- Trillion Dollar Economy”.

He emphasised the necessity of institutional frameworks and government support for banks to invest in critical infrastructure that would foster accelerated growth of the Nigerian economy.

“We need to grow at double digits to get to one-trillion dollar in 2030. We need 10 per cent growth, which is achievable,” he said.

He noted that only 12 per cent of Nigeria’s GDP is represented by the total assets of banks, while other economies have over 70 per cent to 100 per cent.

According to him, this indicates a significant gap where banks can intervene and help mobilise deposits, resources, and capital, ensuring that other sectors benefit from the banking system.

“The plan so far is highly beneficial for the economy. Strong banks require strong profits. Strong banks are crucial for building the strong economy we desire.

“It’s important that banks remain profitable so they can build a very robust reserve to support the economy and the banks themselves.

“The opportunities in Nigeria are immense. Therefore, sustainability will not be a problem.

“This is because banks will now be able to raise, even with the capitalisation we have undertaken, sufficient capital to truly elevate this economy to the next level,” the managing director added.

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Alawuba also said the 50 per cent Cash Reserve Ratio (CRR) might be unsustainable for economic growth and urged its reduction, just as inflation rate was managed.

He highlighted the importance of security, financial inclusion and addressing infrastructure deficits in roads, ports and power.

He further stressed the need for tax incentives and a transition from a primary to a secondary economy to drive growth.

“We need an institutional framework and government support to invest in infrastructure and other areas to support the economy.

“A 50 per cent CRR is not sustainable if we are going to talk about the growth of the economy.

“I am happy that inflation is responding to the actions of the CBN.

“So, as the inflation rate comes down, we expect the CRR to come down,” he said. (NAN)

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GenCos Ask FG, Stakeholders To Pay N4trn Electricity Debt

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1 day ago

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April 15, 2025

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The electricity power generation companies (GenCos) have warned that the over N4 trillion unpaid invoices owed by the federal government and stakeholders for electricity generated threatens their operations.

In a statement on Monday, signed by Sani Bello, chairman of board of trustees, Association of Power Generation Companies (APGC), the GenCos asked the federal government and key stakeholders to urgently address the issue.

According to the association, the issue is currently threatening the continued operation of their power generation plants.

“It is no more news that the power generation companies (GenCos) have continued to bear the brunt of the liquidity crisis in the Nigerian Electric Supply Industry (NESI),” the statement reads.

The association said they have made large-scale investments and have continued to demonstrate commitment by increasing capacities that align with their contract, spanning over 10 years.

The GenCos said expectations of being settled through external support such as “the World Bank PSRO has also been dampened due to other market participants’ inability to meet their respective distribution linked indicators (DLI), enshrined in the Power Sector Recovery Program (PSRP)”.

Moreso, they said the 2024 payment collection rate dropped below 30 percent, and “2025 is not any better, severely affecting GenCo’s ability to meet financial obligations”.

“Tax and Regulatory Challenges: High corporate income tax, concession fees, royalty charges, and new FRC compliance obligations are further straining GenCos’ revenue,” the GenCos said.

“Outstanding Payments: GenCos are currently owed about N4 trillion (N2 trillion for 2024 and N1.9 trillion in legacy debts). No possible solutions, including cash payments, financial instruments, and debt swaps, are in sight.

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“Budget Allocation Concerns: The 2025 government budget allocates only N900 billion, raising concerns about its adequacy to cover arrears and future payments.”

Furthermore, the group said that liquidity challenges are further worsened by the various policies introduced.

As a result of the policies, the association said “no one is under pressure to ensure GenCos invoices are fully settled”.

“The implication of this is that GenCos only get paid a portion of their invoices (9%, 11%) from whatever amount is left,” the association said.

The GenCos demanded immediate implementation of payment plans to settle all outstanding GenCos invoices.

“Reprioritization of payments under the waterfall arrangement to give full priority to a hundred percent payment of GenCos’ invoices as at when due. A clear financing plan to backstop the exposures in the NERC’s Supplementary Order to the MYTO and the DRO 2024,” the association said.

They also requested the provision of payment security backed by the World Bank and the African Development Bank (AfDB) to guarantee full payment to GenCos to enable them to meet their critical needs, ensuring adequate generation and expansion.

The GenCos urged the federal government to liberalise the market to create confidence and ensure the viability and creditworthiness of the power sector.

Also, the association demanded “full effectiveness of all market agreements, firm monitoring, and enforcement of the rules by the regulator on all market participants”.

In light of the severity of the issues, the GenCos requested that immediate action be taken to prevent national security challenges due to their failure to sustain Nigerians’ steady electricity generation.

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OPEC Cuts Global Oil Demand Forecast Over US Tariff Hike

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2 days ago

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April 14, 2025

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On Monday, OPEC announced a slight reduction in its oil demand growth forecast, attributing the change to the effects of U.S. tariffs on the global economy.

In its monthly report, the Saudi-led organization now anticipates an increase in demand of 1.3 million barrels per day (bpd) for 2025, a decrease from the previously estimated 1.4 million bpd.

This “minor adjustment” was primarily influenced by data from the first quarter and the anticipated repercussions on oil demand stemming from the recently imposed U.S. tariffs.

OPEC projects that global oil demand will reach a total of 105.05 million bpd this year. Additionally, the organization has slightly revised its global economic growth forecast down to three percent.

The report noted, “While the global economy exhibited a consistent growth pattern at the start of the year, the short-term outlook is now faced with increased uncertainty due to the recent tariff-related developments.”

Last week, oil prices fell to a four-year low, dropping below $60 per barrel amidst concerns regarding the implications of President Donald Trump’s tariffs. However, prices saw a rebound on Monday, with Brent North Sea crude, the international benchmark, rising by 1.3% to $65.62 per barrel.

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