Relief for Egypt’s Poultry Sector Amid Falling Feed Prices

Egypt’s poultry sector has recently experienced a much-needed reprieve following months of extreme financial pressure. As of December 2025, the cost of feed has significantly decreased from record highs, dropping from approximately EGP 40,000 per tonne to a more manageable range of EGP 19,000 to 22,000 per tonne. This decline is offering welcome relief to producers who have faced challenges in maintaining their operations.

Government Intervention and Changing Dynamics

The reduction in feed prices is a direct response to a combination of factors, including a government initiative that alleviated import restrictions on essential feed ingredients like corn, soybean, and wheat. This policy shift has allowed these crucial commodities to re-enter the market more freely after enduring a period of scarcity.

Impact of Policy Changes on Feed Availability

The challenges facing poultry producers in 2025 can be traced back to significant policy changes enacted in late 2024. The responsibility for grain purchasing was shifted from the General Authority for Supply Commodities to the Future of Egypt agency. This transition caused disruption in import operations, resulting in a steep decline in grain imports during the first half of 2025 and a drastic reduction in state procurement activities. Consequently, the decline in feed availability led to unprecedented price hikes.

A Crisis Point for Poultry Farms

At the peak of the crisis, an alarming 40% of poultry farms were on the brink of closure due to astronomical feed prices and persistently low selling rates. Many producers faced difficult decisions, often resulting in the culling of flocks, which temporarily increased market supply and further depressed poultry prices. This negative feedback loop exacerbated financial losses, amplifying concerns about the long-term viability of Egypt’s poultry production capacity.

Short-Term Stability, Long-Term Challenges

While the recent dip in feed prices has provided a momentary stabilizing effect, numerous long-term challenges remain unaddressed. Continuous foreign currency shortages are creating barriers to grain imports, while broader efforts to diminish dependence on imported wheat have been sluggish and fall short of expected outcomes. Initiatives aimed at boosting domestic production and improving procurement processes have also seen a slow progression.

The Road Ahead for Egypt’s Poultry Industry

Currently, the considerable reduction in feed costs has offered poultry producers a vital breathing space following an extended period of crisis. Nevertheless, the sustainability of the sector will be contingent upon consistent policy clarity, reliable import channels, and improvements in the broader economic landscape. Although immediate pressures have decreased, uncertainties continue to cast a shadow over the future of Egypt’s poultry industry.

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