24 April 2023
MEDIA RELEASE

DARKEST DAY FOR THE SOUTH AFRICAN EGG PRODUCERS

Dr Abongile Balarane, GM, SAPA Egg Organisation

Although eggs remain one of the most affordable animal protein sources, it is becoming increasingly
more expensive for farmers to produce this highly versatile and nutritious protein source. From the 1st
of April 2023, the Eskom tariff increase of 18.5% kicked in, adding more pressure to the egg producers.
It is estimated that the variable costs to produce an egg, which includes electricity, fuels and feed, has
increased from previously circa 70% and is now closer to 80%.

Recently these soaring costs, combined with Eskom’s erratic electricity supply causing multiple daily electricity blackouts, which severely negatively impacts egg production and packing, have forced many producers (particularly
small producers) and some pack stations to exit the industry.

The SAPA stats confirm that the entire value chain is also affected at the primary egg production level, with the day-old pullets hatched expected to decline possibly by 35%, with the point of lays Hens (PoL) replacement also expected to
be down by 11%.

During these darkest of days, I am confident that our resilient egg producers will continue to offer
South Africans their much-loved animal protein source