NAMAKKAL: After remaining above the Rs 6 mark for 49 consecutive days and touching the highest-ever farmgate price in the history of the Namakkal poultry industry, egg prices have slipped below Rs 6, with the National Egg Coordination Committee (NECC), Namakkal Zone, fixing the farmgate rate at Rs 5.70 per egg from August 1.
The farmgate price had first reached Rs 6 per egg on June 12 and continued to climb steadily over the following weeks, driven by strong demand from domestic markets. It touched a record high of Rs 6.80 per egg on July 16, remaining unchanged for nine consecutive days before being reduced to Rs 6.50 on July 25. In the week that followed, the rate fell by another 80 paise to Rs 5.70. Overall, the farmgate price has declined by Rs 1.10 per egg in just 16 days from its peak.
NECC Namakkal Zone chairman K Singaraj attributed the decline mainly to a seasonal drop in consumption. He said egg consumption typically declines during the Tamil month of Aadi and the Shravan month observed in many northern states.
"Demand for eggs usually declines during this period as many people avoid non-vegetarian food. The reduced consumption has affected markets across the country," he said.
The resulting fall in demand has led to a correction in prices across several major egg-producing and consuming markets. Singaraj said prices had already declined in key markets, including Hyderabad and several northern states.
Since the Namakkal market is closely linked to these markets, producers were compelled to reduce farmgate prices to remain competitive and prevent buyers from sourcing eggs elsewhere.