Zambia’s poultry is struggling amid power cuts, high feed costs 

ZAMBIA – The Poultry Association of Zambia (PAZ) says the industry is facing a difficult first quarter, with performance figures falling below expectations compared to the same period over the past two years.

Speaking to News Diggers, PAZ Executive Manager Dominic Chanda attributed the decline to a combination of persistent power outages, a weakening kwacha, and the impact of severe flooding in key farming areas.

He said the country’s ongoing load shedding program has interrupted the electricity supply essential for maintaining operations across hatcheries, broiler farms, and processing units.

This disruption, he added, has coincided with the continued slide of the Zambian kwacha, which has driven up the cost of imported feed components and poultry equipment, both of which are priced in foreign currencies.

Based on recent exchange trends, the cost of these imports in local currency has risen sharply, translating to higher production costs in US dollars and shrinking profit margins for producers.

The association also flagged a shortage of essential raw materials for feed manufacturing, such as soya and maize, which has limited the ability of feed mills to meet demand.

On top of this, floods in various agricultural zones have further strained the sector by damaging infrastructure, washing away crops, and rendering land unsuitable for farming.

Chanda said the industry had shown strong results in the same quarter in 2022 and 2023, helped by steady rainfall, dependable electricity, and a more stable currency environment.

“This year, the situation is very different,” he told the newspaper, emphasising that the range of issues currently facing poultry producers requires urgent policy attention.

Feed Costs and Climate Pressures Pile On

Chanda noted that even with local feed production, input costs remain high due to the shortage of raw materials, compounded by the need to import certain additives and vitamins denominated in US dollars.

He also explained that farming communities already grappling with high costs have been hit hard by damaged roads and flooded farms, disrupting the poultry value chain from farm to market.

Despite these setbacks, projections from industry analysts suggest that poultry meat consumption in Zambia will reach 61,680 metric tonnes by 2026, a modest rise from 59,000 metric tonnes in 2021.

This reflects an annual growth rate of 0.7%, although data shows a slight per capita consumption drop in 2021, falling to 3.24 kg, down by 2.70% from the previous year.

Chanda maintained that without swift action to stabilise energy supply, manage currency volatility, and support local feed production, further declines in productivity could follow in the months ahead.

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