Government to Blame for Current Egg Glut Situation ~ IERPP Economist

Economist and a Senior Research Fellow at the Institute of Economic Research and Public Policy, (IERPP), Dr. Kwasi Nyame-Baafi, has blamed the NDC government over the egg glut being experienced by local poultry farmers.

In a Facebook post, the development economist emphasized that the government’s policy of artificially strengthening the Ghanaian currency, the Cedi against the US Dollar has played a role for what’s happening.

He indicated that imports have been made cheap by the artificial appreciation of the Cedi against the Dollar. This has resulted in more and cheaper imports of eggs into the country, making it impossible for local producers of eggs to compete with these cheap imported ones.

“Consequences of an artificial appreciation of the cedi? When you make imports artificially cheap while simultaneously claiming to boost local production, you create a fundamental policy contradiction” he stated.

“You cannot promote domestic manufacturing, agriculture, or value addition when your currency policy makes imported goods far cheaper than locally produced alternatives. It weakens the very industries you claim to support” he added.

The Bono Poultry Farmers Association has raised alarm over what it describes as one of the most severe egg gluts the country has witnessed in recent years, cautioning that the situation is pushing many producers to the brink of collapse. Farmers say they are stranded with large volumes of unsold eggs as cheaper imports from Côte d’Ivoire undercut local prices and distort demand.

In an interview, the association’s secretary, Johnson Yeboah, said the crisis has hit particularly hard in the Bono Region, a long-standing center of commercial poultry production. He warned that the market downturn is leaving many farmers with no choice but to dispose of their produce.

“We are throwing away eggs because the market is slow. Farmers are running at a loss, and many cannot break even. It’s not because we are overproducing, but because the system is not managed and imported eggs are cheaper due to the exchange rate,” Mr Yeboah said.

He said that the cheaper Dollar has made it easier for people to import eggs from China and other countries outside the continent.

He further explained that recent movements in the cedi–CFA exchange rate have made Ivorian eggs significantly cheaper on the Ghanaian market. “When the exchange rate shifts, eggs from Côte d’Ivoire become cheaper. So, traders prefer importing, and that affects our local market,” he said.

The poultry sector in Bono remains a major employer, supporting livelihoods across hatcheries, feed production, transportation and retail. However, Mr Yeboah argued that poor coordination between policymakers and the private sector is weakening an industry with substantial growth potential.

“Poultry can create huge employment. A farmer with just 1,000 can employ more than one person. But successive governments have failed to engage with us to understand our challenges,” he said.

He criticized the government’s forthcoming Nkoko Nkitikiti initiative, expected to be launched this week under the Feed Ghana program, stating that key stakeholders, particularly producers were left out of consultations.

“The president said the government would engage us for successful implementation, but as we speak, no one from the Ministry has reached out. They are distributing birds to people who are not even poultry farmers. This is a technical business. Without expertise, it could lead to disease outbreaks and more losses,” he noted.

According to him, the absence of structured engagement threatens to undermine the entire value chain, especially when local hatcheries have the capacity to supply chicks at scale.

“We have local hatcheries, that can produce millions of chicks if given contracts. The issue is not capacity, but engagement,” he added.

Mr Yeboah further appealed for immediate intervention to cushion farmers affected by the glut, urging government to extend the National Buffer Stock Company’s market-stabilization role to cover eggs.

“We heard of the maize and rice glut, and government raised money for Buffer Stock to buy those items. We’re pleading with them to do the same for eggs, procure them for the school feeding and SHS programs,” he said.

He emphasized that poultry production remains a capital-intensive undertaking, explaining that raising 1,000 birds could cost up to GH¢100,000 before farmers begin to see any returns. “It’s not sustainable if after all that investment you can’t sell your eggs,” he warned.