Rising costs reshape poultry Industry as farmers opt for homemade feed

Nigerian poultry farmers are now making their own animal feed instead of buying from companies. They are doing this to reduce costs and make more profit, especially as the industry struggles with high expenses.

Even though the prices of maize and soybeans  the main ingredients used in feed  have dropped by over 60 percent, feed producers have only reduced their prices by about 10 percent.

Feed alone makes up about 70 percent of the total cost of running a poultry farm, so it is a major concern for farmers.

A poultry farmer in Ogun State, Martha Adegoroye, said producing feed on her farm saves her about ₦1,500 per kilogram compared to buying ready-made feed. This has helped improve her profits.

According to Sunday Ezeobiora, president of the Poultry Association of Nigeria, many farmers are turning to homemade feed as a way to survive rising costs.

He explained that farmers can save at least 5 percent by producing their own feed.

These cost-saving methods have also helped keep the prices of eggs and chicken relatively stable.

However, feed producers say they cannot reduce their prices much because of other expenses.

These include high costs of electricity, transportation, additives, and packaging. Many of these inputs are imported and require foreign exchange, which makes production expensive.

The Manufacturers Association of Nigeria says manufacturers spend about 40 percent of their total costs on power supply. Rising diesel prices have made this even worse.

As more farmers make their own feed, feed companies are losing customers. A report by the United States Department of Agriculture (USDA) says demand for feed from large producers is no longer increasing as expected.

Still, some experts disagree that homemade feed is cheaper. Taiwo Adeoye, a former president of the Animal Science Association of Nigeria, said many farmers do not properly calculate their costs.

He believes that without proper knowledge, making feed may not actually save money.

Nigeria’s livestock sector, especially poultry, saw very slow growth in 2025 after shrinking in 2024.

Source: Businessday