Egg Support Prices Raised as Demand Increases, Farmers Still Below Production Cost

Dragon Media Correspondent

The Nepal Layers Poultry Farmers Association has increased the support prices of eggs following a rise in market demand, with the new rates taking effect from Tuesday.

According to the association, the support price for XL eggs has been fixed at Rs 560 per crate of 30 eggs, while large eggs have been priced at Rs 545 per crate and medium eggs at Rs 500 per crate. The price of small eggs has been set at Rs 3,000 per box containing seven crates.

Association President Binod Pokharel said egg production had declined after bird flu outbreaks resulted in the death of a significant number of chickens, while market demand has increased considerably. He said the revised support prices were set on the basis of rates provided by poultry farms.

Despite the increase, farmers are still not receiving prices sufficient to cover production costs. According to the association, the production cost of one egg is Rs 19.12, equivalent to around Rs 573.60 per crate of 30 eggs. This means even the revised support price for XL eggs remains below the estimated production cost.

Poultry farmers have suffered substantial financial losses due to bird flu, declining production and prolonged periods of low egg prices. Industry representatives say these pressures have forced many farmers to rely increasingly on bank loans.

Some farmers have also begun leaving the poultry business altogether after failing to recover their production costs over the past several years.

Pokharel said some farmers suffered direct losses after their chickens died during recent bird flu outbreaks, while others whose flocks survived also faced heavy losses because they were unable to obtain adequate prices for their eggs.

The association said the latest price increase may provide some relief, but egg prices have yet to reach a level that fully covers farmers’ production costs.