A price war among poultry-producing States and weak domestic demand due to the austere month of Shravan across the country (Aadi in Tamil Nadu), besides lower exports, have resulted in egg prices declining by over 20 per cent over the past couple of weeks.
According to a top executive of a poultry firm, players from South are cutting their price in panic after traders in the northern region claim they are getting eggs at lower prices from Haryana.
“Take the example of West Bengal and North-Eastern markets, which get about 120-130 trucks (each truck having about 2.5 lakh eggs. They (traders) would say they are getting eggs from a smaller market like Haryana in the north at 4-5 paise lower,” he said.
The demand in the Northern region also falls significantly this month. “The smaller player can afford to take the burden as they send only 10-15 trucks. “But we bear a significant burden as we send the bulk to that region,” he said.
Over 20% export drop
“We advise our peers not to fall for that bite, but they don’t pay heed to the advice, considering the short shelf-life of the product,” he said.
K Singaraj, Namakkal zone’s NECC chairman, said poultry producers in Tamil Nadu have cut prices to compete with Bengaluru and Hyderabad markets.
“Also, because of the onset of summer in the Middle East, a major buyer, consumption has come down. Exports are down by 20-30 per cent compared with last month,” he said, adding slack demand from North and Kerala have led to the decline in prices.
Per the National Egg Coordination Committee, the farmgate price per egg in Namakkal, a major producing centre, ruled at ₹4.20 on July 29 compared with ₹5.75 on July 1.
May last till Dussehra
“This is an annual phenomenon and the bearish trend in prices is likely to continue till Dussehra,” a poultry owner said. The sector is bracing for more losses as production costs range between ₹4.50 and ₹4.75 a piece.
In Bengaluru, a key consuming centre, the prices of eggs have come down by around 25 per cent since the beginning of this month. Egg prices, which hovered around ₹620 per 100 at the beginning of July, have come down to ₹465 on weak demand.
Prices have nosedived in Telangana, too. In Hyderabad, the key production and consumption market for eggs, the price of an egg has dropped to ₹4.40 at the farmgate level. Eggs in bulk are sold at ₹5 a piece against ₹6-7, respectively, before the price crash.
The month of Shravan (Aadi in Tamil Nadu) is a month of observance of many religious fasts and festivals during which people avoid consumption of meat and eggs. Trade sources in Bengaluru said the demand for poultry products slows with the start of Shravan.
Chicken unaffected
“The price saw a sudden drop three days ago on the onset of the Shravan. For one month, most people don’t consume eggs. This is an annual feature. We can see an upward movement from next month,” a poultry federation official in Hyderabad said.
A poultry producer in Tamil Nadu’s Rasipuram said the impact could last another fortnight and things could change as the end of Shravan nears.
The impact, however, has not been felt in poultry meat yet, a source who provides chicken to Chennai retailers.
“Farmgate prices are ruling above ₹100 a kg in Tamil Nadu, while it is ₹85-90 in neighbouring States such as Andhra, Karnataka and Telangana. In Tamil Nadu, the month of Puratasi is more auspicious than Aadi,” he said.
(With inputs from Vishwnath Kulkarni, Bengaluru and Subramani Ra Mancombu, Chennai)
Published on July 29, 2025
