Egg prices increase in Nepal as production drops and demand strengthens

NEPAL – Egg prices in Nepal have moved higher following a decline in output and a simultaneous rise in consumption, according to data released by the Layers Poultry Farmers Association.

The association confirmed that revised farm gate prices took effect immediately, reflecting shifts in supply and demand across the market.

Under the new pricing structure, large eggs are now selling at about US$3.50 (Rs 465) per crate of 30, up from US$3.38 (Rs 450), while medium-sized eggs have increased to around US$3.12 (Rs 415) per crate, up from US$3.01 (Rs 400).

This adjustment follows a period of reduced production, which industry officials attribute to disease outbreaks affecting poultry flocks alongside rising temperatures that have disrupted farming conditions.

At the same time, consumption has picked up due to increased tourist arrivals during the Nepali New Year, placing additional pressure on already constrained supply.

Compounding the situation, tighter border controls have limited the entry of eggs from neighbouring markets, further narrowing availability within the country.

Supply constraints and past price trends

The latest increase comes months after egg prices hit a peak in Mangsir last year, when large eggs reached approximately US$4.25 (Rs 565) per crate and medium eggs climbed to about US$4.14 (Rs 550).

Although current prices remain below those earlier highs, producers say returns are still insufficient relative to production costs.

Farmers struggle to recover costs

Industry estimates place the cost of producing a single egg at roughly US$0.14 (Rs 19.12), which translates to about US$4.31 (Rs 574) per crate, leaving farmers operating below break-even levels despite the recent price increase.

Producers have expressed frustration over the mismatch between market prices and production expenses, particularly after earlier gains in pricing were not sustained.

The association maintains that pricing decisions are based on prevailing market conditions and indicates that prices may continue to adjust gradually in response to supply and demand dynamics.

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