February 17, 2004

Gradual Rise In Indian Egg Prices

Egg prices in India improved slightly this week following weeks of low demand due to the bird flu outbreak in Asia.

After a price review meet held on Monday, the National Egg Coordination Council has raised the shell egg price by 10 per cent from last week's price of Rs 1 to Rs 1.10 a piece. The increase in egg price has been thought of due to improvement in the market conditions as there has been a rise in consumption levels.

According to the NECC Namakkal zonal committee Chairman, Dr P. Selvaraj, "The consumption of chicken is also picking up compared to what it was 10 days ago."

Sources in the layer egg trade said part of the price recovery for layer egg was on account of better export enquiry for shell eggs.

However, the broiler price is yet to see any significant improvement, despite the improved market sentiment and the State broiler coordination committee (BCC) has chosen to maintain its last week wholesale price for the current week at Rs 25 a kg.

Though the BCC rate is kept at previous levels, birds are being sold at a price lower by Rs 2 from the wholesale rate.

Even as broiler producers are trying to come to grips with the bird flu scare, the outlook in terms of chicken consumption may not change significantly in the coming weeks in view of Easter.

The fast/austerities that would start weeks ahead of Easter marked by avoidance of meat-eating is a worry for the broiler farmers, and chicken producers feel that the wholesale price of broiler may come under further strain until next month end.