The All Ceylon Egg Producers Association has reported a sharp increase in egg prices, now ranging between 60 and 65 rupees. This surge stems from significant hikes in the cost of poultry feed, driven by rising prices of rice polish and chalked rice, essential ingredients in chicken feed. Rice mill owners have set these higher rates, exacerbating the financial strain on egg producers.
Feed Costs and Their Impact on Egg Production
According to Sarath Rathnayake, the association's president, the cost of chicken feed has increased dramatically from 150 rupees per kilogram to 200 rupees. As a result, the production cost of an egg has risen to 38 rupees. However, producers are forced to sell eggs at wholesale prices of 30-31 rupees, incurring a 7-rupee loss per egg.
This unsustainable situation has pushed small and medium-scale farmers to scale back or entirely cease egg production. The resulting reduction in supply has contributed to the escalating retail prices, with the association warning that further increases beyond the 60-rupee mark are likely if current trends continue.
Challenges for Producers and Consumers
The ongoing price pressures present a dual challenge:
- Producers face mounting losses, threatening the viability of small and medium-scale farms and further tightening the supply chain.
- Consumers bear the brunt of rising prices, which could worsen as production declines and market scarcity intensifies.
Rathnayake cautioned that without intervention, these dynamics could result in a sustained rise in egg prices, straining household budgets across Sri Lanka.
Conclusion: A Call for Solutions
The rising cost of poultry feed and its cascading effects on egg prices highlight the need for urgent measures to stabilize production costs and support farmers. Interventions to regulate feed prices or provide subsidies could help prevent further disruptions in the egg market. Addressing this crisis is essential to ensure affordability for consumers while sustaining the livelihoods of egg producers.
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