CHENNAI: Egg procurement prices in Namakkal have fallen by 110 paise per egg over the past 12 days, following successive price cuts announced by the National Egg Coordination Committee (NECC).
The procurement price, which was 540 paise earlier, was first reduced to 460 paise earlier this week. On Wednesday, the NECC announced a further cut of 30 paise, bringing the current price down to 430 paise per egg, as per a Maalaimalar report.
This brings the total decline over the past 12 days to 110 paise.
Industry representatives said egg consumption has fallen by nearly 20 per cent due to seasonal and religious factors, including the summer period, the ongoing Ramzan fasting and the Christian Lent season. In response to the weakening demand, the NECC decided to lower procurement prices to boost sales.
Adding to the situation, exports to Gulf countries such as Dubai, Qatar and Oman have come to a standstill over the past three days due to the ongoing conflict in West Asia.
Around 80 lakh eggs were exported daily from the Namakkal zone. With shipments disrupted, nearly 2.4 crore eggs meant for export have remained unsent in just three days, traders said.
As a result of the export disruption and weaker domestic demand, more than 15 crore eggs have accumulated in cold storage, forcing poultry farmers to hold excess stock.
Namakkal zone, which has over 1,000 poultry farms, produces more than 7 crore eggs daily. These are supplied across Tamil Nadu, to the government’s noon meal scheme, and to several other States.
Approximately 80 lakh eggs were exported daily to international markets.
The NECC fixes egg procurement prices on a daily basis.
On November 16 last year, egg procurement prices touched 600 paise for the first time in the history of the poultry industry. Prices later climbed to a record 640 paise, before declining gradually in recent weeks.