Egg prices rise amid falling production and rising demand

KATHMANDU, APRIL 27 : The Nepal Layers Poultry Association has decided to increase the price of eggs. According to Binod Pokharel, President of the Association, the new rates will take effect from today. Under the revised prices, the farm support price for a crate of 30 large eggs has been set at Rs. 430, medium-sized eggs at Rs. 380, and XL eggs at Rs. 450.

Previously, the price of a crate of large eggs had dropped to Rs. 350. Pokharel informed that the decision to raise the prices was made during a discussion held yesterday

The new farm price for every seven crates for XL eggs has been set at Rs. 3,140, for large eggs at Rs. 3,000, and for medium eggs at Rs. 2,650. Pokharel stated that the revised pricing would offer some relief to farmers.

According to him, the production cost of an egg in Nepal is Rs. 16.56 per piece. When prices were high, the farm price for a crate of large eggs had reached up to Rs. 3,675. In recent months, farmers, who were unable to recover even their production costs, have started to feel some relief with the rise in prices. Last year, the price per crate had reached as high as Rs. 525 but had later fallen to Rs. 350. It has now risen again to Rs. 450.

Pokharel noted that even though farmers are now getting closer to covering their production costs, the earlier price drop had made it very difficult for them to sustain their business. He said, "Due to the heat, egg production has declined while demand in the market has increased, pushing prices up." The high temperatures have also led to a rise in diseases among poultry, further decreasing production.

According to Madan Pokharel, Secretary of the Association, the number of laying hens has declined while market demand has increased. "Given the current situation, egg prices are expected to continue rising," he said. "The recent price hike has encouraged farmers. Currently, around 3 million eggs are being produced daily."

Many poultry farmers in Nepal have been displaced after being unable to even recover their production costs.