Tuesday, May 31, 2016
LAGOS AND THE POULTRY VALUE CHAIN.
The poultry industry is well grounded in Nigeria with an estimated worth of over 100 billion Naira. There are a large number of commercial players and also small holder farmers in the sector most of which are located in the south-western part of the country,with close proximity to Lagos state. There is a large market for poultry products in the country as evidenced by the 1.2 million tonnes of products smuggled into the country annually,the recent ban on imported poultry products has opened up more markets for home-grown products. Lagos with a population of about 21 million people with majority in middle and upper class who show preference for poultry products,the state is a ready market for poultry business. The state itself has commercial farmers and small holder farmers in the poultry sector churning out large numbers of chicken and eggs .The state with a vision to be Africa's mega city and global economic financial hub has dedicated zones and areas where poultry farms are domiciled. The state has invested heavily in the poultry sector with poultry estates in Ikorodu,Ojo ,farm settlements in Badagry and a training school in Epe. The state with a policy thrust to eradicate poverty through infrastructural renewal and development recently embarked on an empowerment programme where cages,poultry equipment,eggs and suitable land was allocated to poultry farmers to upscale their level of production . The federal government with the Agricultural transformation agenda to increase crop production and also to create value added food processing industries as a means to reduce food imports and create jobs, has given the state a platform to call for private sector participation in the poultry value chain alongside other 22 agricultural chains. Investments into the poultry industry in the country recently got a boost with a Multi-Net group leading with plans to establish a farm and also the African development bank injecting 34.5 billion naira to boost the agricultural sector. A partnership between the government and a Portuguese company to establish a feed mill in the country is on going.( pls check earlier posts for details of these investments.) Investors in the poultry value chain can look into these areas; 1) Processing plant; many of the smuggled products are processed ,indicating the preference for more processed poultry. A processing plant can process poultry as chicken sausages, canned chicken, processed frozen, stewed or fried. The introduction of new processed products will not only be very profitable but more jobs will be available as more chicken will be in demand. 2) Egg powder plant; investors can look into this area, egg powder is very important in so many industries and establishment of such will also increase egg sales. The state is embarking on a school feeding programme, where eggs will be part of the menu. This programme itself demands more eggs to be produced ,and also the eggplant will compliment this effort to ensure that eggs are always available,by extending the shelf-life. There are seasons where there is egg glut,the egg powder plant will solve this problem and add more economic value to it. 3) Production is another point of investment, we are calling for investors to revamp the industry in terms of more production. This will be traced to the onset of production. There are partnerships with various hatcheries with various breeds in the country,however new and well established breeds can be introduced into the country, to add to what is on ground and also create a platform for breeding. Breeding centers can be established to fashion- out how to get our own highly productive and hardy breed. 4) Waste management; investors can look into the biogas plant to generate electricity and gas or to process as fertilizers which can benefit farmers. The feathers can also be processed and sold as fashion accessories.The blood and fat can also be processed and incorporated into animal feed. 5)Transportation ; investors can look into cooling vans,trucks and buses. This is to ensure that the products get to the market in good condition.The transportation of live birds to markets is another area of investment.