Surging Egg Prices: The Perfect Storm of Demand, Feed Costs, and Export Pressure

Egg prices in Kolkata have surged by 25% amid winter demand, rising poultry feed costs, and new export markets like Bangladesh and Malaysia. Rising input costs, particularly maize prices, and increased demand from ethanol production are key factors. While exports are contributing, the country faces no shortage crisis.

In a significant rise, egg prices in Kolkata have jumped 25% in recent weeks, escalating from Rs 6.5 to Rs 8 due to winter demand and increased exports, notably to Bangladesh and Malaysia. This situation, explained on Tuesday by officials, reflects broader nationwide price trends driven by a 30% increase in input costs, especially maize.

The poultry industry's key body challenges the idea that exports are the primary cause, noting that traditional export markets for India don't usually include Bangladesh. Nevertheless, an export order for up to 5 crore eggs highlights the potential pressures on supply, though only 2 crore have been shipped to date.

Adding to this complex scenario are rising political tensions in Bangladesh, which could disrupt exports. Yet, despite possible curbs, domestic production in Bengal, responsible for meeting the local daily demand of 3.5-4.5 crore eggs, continues unabated, with state monitors observing developments closely.

(With inputs from agencies.)