Processor explains reasons many catfish growers avoid processing

Consumers of catfish both locally and internationally have a strong desire for processed dry fish. Yet, only a few fish farmers combine rearing and processing while majority of those in processing business are non-farmers. A fish farmer with over 10 years farming experience, Abimbola Ajao, has emphasized that despite being a lucrative business, the challenges […]

Consumers of catfish both locally and internationally have a strong desire for processed dry fish. Yet, only a few fish farmers combine rearing and processing while majority of those in processing business are non-farmers.

A fish farmer with over 10 years farming experience, Abimbola Ajao, has emphasized that despite being a lucrative business, the challenges in catfish processing has discouraged farmers from engaging in the business.

According to the Managing Director of Hairat Ajao & Co, selling processed catfish, whether to retailers or wholesalers is more lucrative than selling the fresh fish. Despite the profit embedded in the business, it is prone to losses and has more challenges.

Identifying the challenges, she noted that losses, labour cost, processing time, packaging materials and logistics for delivery are the major issues.

In her explanation, loss can be accrued due to the nonchalant attitude of the farm workers.

“These days, it is difficult to get good labour in Nigeria. When the farm worker does not do the right thing, the whole oven can catch fire regardless of whether the oven is powered by gas or charcoal. When drying, the fish start dripping water at first, thereafter, it starts dripping oil to dry well. In the process of dripping oil, there is usually a small distance between the last tray and the charcoal. There is a possibility of that oil dropping directly into the fire, bits by bit at first and in larger amount later. When this continues, the charcoal, gas or other sources of fire can easily catch fire and the whole oven can catch fire. I have experienced it more than once.”

To avoid the oven catching fire, she suggested that no matter the distance between the heat source and the last tray, there must be measures in-between to ensure the oven does not catch fire regardless of how much heat is increased in the oven.

Transportation logistics, a major challenge in fish processing, has made many business fold up. In her explanation, a well-packaged fish from the farm ends up damaged before getting to its destination due to the attitude of some careless drivers.

“They pick the fish whole, clean and packed but by the time it gets to the customer, it’s all broken and in pieces. As the farmer or processor, you will have to bear the loss. I had a terrible experience with NIPOST. I delivered processed fish worth N80,000 to them to be sent to America. The fish was in good condition when they collected it from me. By the time it got delivered in America, everything has turned into powder, it was all broken into pieces. The company staff stole the big chunks in the fishes. I know this because after investigating, the number of heads in each package has reduced. In a pack with four to five fishes, we are getting two to three heads of fish. This shows that the package was opened before sending it abroad, some fishes were removed and repackaged. In the process of repackaging, it was not properly done and that was what led to the fish turning into powder. At the end of it all, I had to bear the loss by refunding the money to my customer.”

Giving another instance of how logistics affect fish processing business, she disclosed that about a week ago, N20,000 worth of fish was broken by a bike rider who placed other items on the box, thereby putting pressure on the fishes, ending up damaging the dried fishes.

She acknowledged that most fish farmers disassociate themselves from processing as the loss attached to the business discourages, “because the gain made would be used in covering the loss if care is not taken.”

As a result of the demand for dried catfish locally and internationally for various soups, the dry fish business has been described as profitable by Ajao.

“Truth be told, it is a profitable business. Before the economy got this bad, someone can get 100 percent profit from processing dry fish. Now, the profit is not up to 100 percent, that does not stop me from still processing. Rather than wait for four months in the fresh fish section, the processing part of the business makes it easy to sell and get money in a week, a day, or days. It’s a business that there are ready-made customers for it. As soon as you are drying a set, customers are buying it off; sometimes, before we complete drying, it is sold off. The moment I post it on social media, it is all sold out and I deliver. That will not happen in the case of fresh fish.”

The consultant fish expert while providing a solution to the logistics challenge that affects processed fish noted that asides giving the fish to a good rider, the farmer or processor must also do his or her part by packaging well, put the fishes in a box, seal it properly and attach a fragile sticker to it. She warned processors to watch out for dubious, greedy riders who carry extra items by placing heavy items on the fragile fishes.

The fishery expert emphasized the need to go into partnership with a good logistics company that will treat customers right and will not make the farmer have a problem delivering or running at a loss due to logistics problem.