Egg prices rise 25% in 3 weeks on output dip

Egg prices have shot up about 25 per cent in the retail as well as the wholesale market over the last three weeks on the back of a shortage of around 20 per cent in annual production. A rise in maize prices has also contributed to the upturn in egg prices.

In last calendar year, the country produced about 37,500 million eggs. However, this year, the egg production is estimated at about 30,000 million eggs.

The prices have gone up to Rs 28-30 from the Rs 22-24 a dozen level just three weeks ago. At the wholesale level, the prices have moved up from Rs 156 (for 100 eggs) to Rs 194 in Delhi, from Rs 149 to Rs 190 in Mumbai, from Rs 160 to Rs 190 in Kolkata and from Rs 143 to Rs 184 in Chennai.

"The cost of producing an egg has gone up to Rs 1.27 from Rs 1.05 a couple of month ago. The cost of maize, the basic feed of poultry, has risen to Rs 9 a kg from the usual Rs 5. Further, post-bird flu, the consumption has returned to normal. Exports of poultry too opened up in August.

All these factors have led to a rise in egg prices," said O P Singh, managing director of Pune-based Venkateswara Hatcheries.

"The country has about 160 million laying hens. Of them, about 115 million hens need to be replaced every year as their laying cycle ends. However, this year, because of the bird flu farmers were able to replace only 90-95 million hens and, therefore, the production has declined," A K Rajput, manager (operations) of Coimbatore-based Pioneer Poultry, said.

High prices have put most green vegetables beyond the reach of common people. So, an increasing number of people are resorting to eggs for their regular meals. This is driving up the demand for eggs and, hence, their prices.