Commodities

Egg price falls 20pc as post-Covid recovery increases supply

EGGS

Workers loading of eggs. FILE PHOTO | NMG

geraldandae

Summary

  • A shortage of eggs in the country in the past two months had sparked a jump in price as farmers sold layers in the wake of costly feeds.
  • The declining price is a blow to feed millers as farmers buy less to lower production costs.
  • Poultry farmers have over the years complained of cheap Ugandan eggs, which make the local commodity uncompetitive.

The price of eggs has dropped by 20 percent on increased supply that has outpaced demand amid low purchasing power.

A crate sells for Sh360, down from Sh450 last month.

Kenya Poultry Association chairperson Wairimu Kariuki says farmers have a lot of eggs as the layers they stocked when the economy started recovering after the Covid-19 pandemic are now laying, increasing supply.

A shortage of eggs in the country in the past two months had sparked a jump in price as farmers sold layers in the wake of costly feeds.

“Farmers have a lot of eggs because the layers they stocked after the scarcity during Covid-19 are now in production,” said Ms Kariuki.

“The consumption is also very low due to low purchasing power and the hospitality industry has not fully recovered,” she added.

However, feed millers, who have been hit by low prices of eggs, argue that the decline in prices is due to imports from Uganda.

“The price of eggs has dropped because we are now getting too much of it from Uganda, which has now suppressed the local commodity,” said Martin Kinoti, secretary-general of the Association of Kenya Animal Feed Manufactures.

The declining price is a blow to feed millers as farmers buy less to lower production costs.

The average price of a 70 kilogramme bag of layers mash is Sh4,000, down from Sh3,200 last year.

Poultry farmers have over the years complained of cheap Ugandan eggs, which make the local commodity uncompetitive.

The high cost of feeds has been attributed to expensive maize and a shortage of key protein supplements such as sunflower cake and soya, which are hardly found locally.

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