COIMBATORE: The farm gate price of eggs has dropped sharply to Rs 4.05 per egg in Namakkal, India’s key poultry hub, following a steep decline in exports triggered by the ongoing severe West Asia conflict.
The downturn comes as nearly 90 per cent of egg exports from Namakkal have been disrupted since late February. “Under normal circumstances, up to one crore eggs are exported daily to Gulf countries such as Dubai, Qatar and Oman, besides some African nations. However, given the conflict, exports have taken a severe hit,” said K Singaraj, president, Tamil Nadu Poultry Farmers Association.
Owing to this, the National Egg Coordination Committee (Namakkal Zone) on Tuesday reduced the farm gate price by 20 paise, fixing it at Rs 4.05 per egg, marking a sharp fall from the record high of Rs 6.40 witnessed in November last year.
Namakkal, which houses over 1,200 poultry farms producing more than six crore eggs daily, is now grappling with mounting losses. Farmers estimate the production cost at around Rs 5.40 per egg, significantly higher than the current market price, placing severe financial strain on the sector.
The export disruption has also led to logistical challenges, with an estimated 6 crore eggs stranded at ports across Gulf nations. “Over 120 containers have been held up at Jebel Ali port in Dubai and ports in Saudi Arabia for nearly a month. Though stored under controlled temperatures with a shelf life of about three months, delays in reaching markets could impact their usability,” Singaraj added.
Poultry farmers have taken up the issue with the Centre and the Agricultural and Processed Food Products Export Development Authority (APEDA), seeking intervention to resolve transit bottlenecks.
In addition, seasonal factors have further dampened demand. Consumption typically declines during summer from February to April as school closures and examinations halt egg supply under the noon meal scheme, affecting domestic consumption.
However, farmers are cautiously optimistic about a price recovery in the coming weeks. Demand is expected to rise once the annual fishing ban comes into force around mid-April, traditionally leading to higher egg consumption. Additionally, the onset of election campaigning in Tamil Nadu and neighbouring states is likely to boost demand, as eggs are commonly served with biryani at large political gatherings.