Eggs form an essential part of our daily diet. They’re popular in demand, given their rich taste and health benefits. The slogan “Sunday ho ya Monday, Roz Khao Anday” really took off and promoted the commodity.
The daily prices of eggs vary across different regions. A gap is observed in the rate of eggs in Haryana when compared to the same in Tamil Nadu. Let us look at the factors determining the prices of eggs to analyze this gap.

A few generic determinants are listed below:

Demand and Supply

Going by the most basic economics rule, prices are determined by looking at the demand and supply schedules. The price is set at a point where the price which the buyers are willing to pay matches the price at which the sellers are willing to sell the product.

Both these components, in turn, have their own set of determinants. The market works in a complex way to set the rates. These prices are, however, further affected by policies and terms.

Supply affect

The demand and supply of the market influence the prices in a great way. For example- if supply in a mandi or region is more. The price of the eggs would be decided by the association, keeping this in mind. Different associations such as NACC and Punjab poultry farmers association decide the egg rates in India.

Demand affect

To understand this, take the example of bird flu. People stopped consuming eggs and this led to a drop in the price of eggs nationwide. Similarly, in the season when the demand for eggs is high, the prices of eggs also increase.

Feed and Labour Costs

The input costs have a direct relationship with the final cost of the product. For example, the feed price rose during the pandemic as people stocked massive quantities of grains at their homes. This raised the cost of domesticating birds. Labour is paid in wages and these wages increase and decrease under the direction of the free market.


Traders often stock eggs to sell at a time when the demand is high and the supply is relatively low. This affects the egg rates in India drastically. Many traders have cold storage systems which they use to stock the eggs.

They manipulate the market rates and, consequently, farmers in panic sell their production at low rates.

Brokers and Traders

Brokers and traders work as commission agents in the poultry industry. They purchase products from farmers at low prices and sell them at high rates. For selling the production of farmers, agents charge a hefty commission which eventually increases the egg rates. Resultantly, egg rates increase and fluctuate drastically.


The demand for poultry products is directly affected by the climate. For instance, demand for eggs significantly increases in the northern parts of India in winters. This pattern of demand is different according to regions as people of southern states prefer poultry products throughout the year.


Conclusively, egg rates in India depend on many factors such as demand and supply, stocking of production, traders, climate and many more. As a result of this, rates of eggs fluctuate a lot. This fluctuation many times leads to losses for farmers. It is very important to bring all the farmers under one platform to bring stability in the egg rates.

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