INVESTMENT OPPORTUNITY – EGG POWDER PRODUCTION

Introduction

The poultry sector in Nigeria has made tremendous progress in the last decade. It has grown into an organized and highly productive industry. According to data from the Food and Agriculture Organization (F.A.O.) of the United Nations, Nigeria has become the largest producer of chicken eggs in Africa, producing 10.3 billion to 12.1 billion eggs annually between 2015 and 2018, data from the Poultry Association of Nigeria (PAN) also confirm this. Egg is a protein rich food and about 20 million people consume eggs on a daily basis in Lagos state alone. However, poultry farmers across the nation usually experience gluts in the egg market usually between February and May every year, largely because people tend to consume less egg during this period of the year and the short shelf life of fresh eggs which often result in wastage of eggs. To improve the shelf life and for ease of storage and usage, the processing of fresh eggs into egg powder is a very convenient imperative. Powdered eggs is quite stable at room temperature and can be stored over longer period.

Benefits & Opportunities

The opportunity created by the huge market demand for egg powder and the easy availability of fresh eggs presents an investment case that entrepreneurs can tap into for the establishment of eggs powder plants. This will also save the country billions of dollars it would have spent on the importation of egg powder while creating both direct and indirect jobs for Nigerians.
The FAO projections on Nigeria’s eggs production and consumption shows that more eggs will be produced than it is being consumed between now and year 2050. So in order to promote and ensure sustainability of the poultry egg industry, we need to start processing eggs into powder to help address the issue of egg glut in the country and also increase the shelf life of our eggs,”

Entrepreneurs that venture into the business are expected to make profits and is also expected to boost egg supply to the populace and industries. This will go a long way in increasing the protein consumption level of the average Nigerian. Furthermore, the project has the capacity to generate employment for the local populace within the Community where the project is expected to be sited. The export focus/objective of the project when in full operation also has the capacity to generate foreign exchange and improve on the country’s GDP.
The execution of this project would be strategically positioned to contribute to egg powder production for the use of Nigerians as a whole and to address the issue of egg glut. It is based on this justification that the need for the consultancy Study on Egg Power Development and Investments in Support of Poultry Value Chain becomes very urgent and relevant.

Industrial Use Case

Modern day use of egg powder is becoming very important in the confectionary and food industries in Lagos, Nigeria and other parts of the world. Nigeria egg powder industry is estimated to worth US$1billion with only one cottage plant in the whole of Lagos state, this and another factory located in Itele, near Ijebu-Ode, Ogun state can hardly meet 5% of the market needs. Powdered egg products are mostly used by industries and bakers. A number of big players import egg powder intones, whereas opportunity exist for local producers that even if they cannot meet their entire demand, they can still meet a good percentage of local demands.

it is used in manufacturing of wide range of products across the food and beverage industry

Egg powder can be used in the preparation of foods such as ice cream, bread, cakes, biscuits, noodles and pastry snacks and can be rehydrated to make dishes such as scrambled eggs and omelets. As well can be used in the pharmaceutical industry for making vaccines such as Yellow, Flu, measles, mumps and rubella vaccine.

The main objective of this write up is to present a business case for interested investors on the concept and opportunity for egg powder production that will assist in resolving the challenge of perennial eggs glut experience by poultry farmers and also produce raw materials for the numerous food industries abounding in Lagos and her catchment states

For more information concerning Egg Powder Production Facility and its opportunities kindly contactchristian@caprifinance.net