The Hindu Business Line : Rising mercury smashes egg prices

THE slowdown in off-take and reports of rising temperature in upcountry consumption centres have lowered wholesale prices of egg this week, especially in Tamil Nadu.

Synchronising with major upmarket price trends, the Namakkal zonal egg shed 11 paise from the last week's peak price of Rs 1.56.

The weekly meet of the Namakkal zonal committee of the National Egg Coordination Committee held on Monday brought down the farm-gate procurement rate to Rs 1.45, almost on par with Andhra Pradesh, where the egg price was Rs 1.44.

Hyderabad zone rate for this week has been pegged 10 paise lower at Rs 1.54.

Sources in the Namakkal NECC say, egg prices, which increased in the wake of yearend demands across the country, have lost steam forcing downward revision in the wholesale price on slowdown in demand from upmarkets in view of the rising temperature.

Egg prices in Delhi and Kolkata have also tumbled this week. In Kolkata, the prices have declined toRs 1.60 from Rs 1.79.

The next price review by the NECC Namakkal is expected by January 26.

Reliable sources told Business Line that the non-availability of labour engaged in the poultry farms in the Namakkal belt was also reported as a factor that pulled down the prices.

This was since the workers were away for Pongal festivities.

The pace of egg exports has also been hit to some extent. Poultry farmers are left with tackling the egg stocks in farmyards.

But the sources expressed optimism that things would improve by this week when more labour would report to work.

Indications are that though the egg export would continue to remain vibrant from the region this year, the rise in egg production in the coming months may give some anxiety to the poultry farmers.

In such an eventuality, it is to be seen whether the farm-gate price will weaken further in the coming weeks.