The National Egg Coordinaton Committee's (NECC) Namakkal zone has slashed the price to Rs 2.23 a piece from last week's Rs 2.33. This reduction comes close on the heels of a 10-paise drop effected last week. Egg prices touched a record Rs 3.02 in January.

Industry sources told The Hindu Business Line that apart from reduced consumption, traders prefer to maintain low stocks as high temperatures result in low shelf-life. Therefore, eggs tend to stockpile at the production centres.

Traders have decided to hold these prices for at least a week in order to stabilise the market. The prices would normally pick up after April once the soaring temperature cools down.

NECC has cut the prices of layer birds too to Rs 26/kg (Rs 29/kg). But the Palladam-based Broiler Co-ordination Committee (BCC) has retained the rates of broiler chicken at Rs 69/kg. The present prices are slightly higher than the Rs 54/kg-level in the same period last year, and are expected to pick up towards the end of March.

BCC has advised poultry farmers to retain their produce and wait as it expects the prices of chicken to go up in summer, when the demand for animal protein (such as broiler meat) gains traction amid a supply squeeze.

India is world's fifth largest broiler producer with an estimated annual production of 2.3 million tonnes of broiler meat.