“At the retail level, this comes to Rs 3.25 or even Rs 3.50 a piece and we face resistance among consumers,” said an NECC spokesperson. Moreover, the move is also attributed to avoid the accumulation of stocks. “We are forced to drop the rates owing to stagnation of more than 10 crore eggs during the Pongal holidays. Closure of Government schools (which account for 70 lakh eggs a day under the noon meal scheme) amounted for stagnation of 2.1 crore eggs while the Sankaranti holidays led to a stagnation of another eight crore eggs.”

The Hindu Business Line reports that the clear weather condition and return of normalcy in the North, too, have contributed to the price cut. Northern States' consumption stood at more than 20 lakh eggs a day on prolonged cold wave. “The north Indian sale has dropped by 75 per cent and we supplied only 5 lakh eggs a day last week against the 20 lakh eggs the week before,” Dr P. Selvaraj, Chairman, NECC's Namakkal zone, told Business Line. Further price cut, say by 5-10 paise, is on the cards in order to get rid of the excess stock, he said.

The worst affected lot is the layer farming community since NECC has slashed the prices of layer birds to Rs 28/kg (Rs 31). Palladam-based Broiler Coordination Committee has decided to maintain the prices of cull birds at Rs 49/kg.

On the export front, Namakkal zone has been test supplying eggs and day-old chicks to the neighbouring Sri Lanka since mid-December. “So far we have exported four containers (18 lakh) to Sri Lanka and we expect the volume to pick up once the shipping service from Tuticorin to Colombo starts next month,” Mr Selvaraj added.