Why prices of eggs have reached new highs of Rs 7 apiece
It looks a little more difficult to put 'all our eggs in one basket,' as prices of this protein have now skyrocketed.
- Prices of eggs have jumped to Rs 7 apiece.
- Costlier vegetables may have driven higher demand for eggs.
- For every 100 eggs the price from poultry farms in Pune costs Rs 585.
Including eggs in your diet may now cost you almost as much as purchasing a full chicken. Reports have come in that if we consider the average weight of eggs, then per kilo rate would work out to almost that of the price of a chicken.
Price of eggs sky-rocketed in the interim reaching nearly Rs 7 in certain parts of the country.
For every 100 eggs the price from poultry farms in Pune costs Rs 585, a report by OneIndia said on Monday. This worked out to nearly Rs 6.5-7.5 apiece.
Price of eggs have risen considerably in the past six months from earlier costing Rs 375 per 100 pieces to now Rs 585 for 100 eggs.
Why this price hike?
Egg price soars to all-time high | pic.twitter.com/IstVEW9whJ
— Zee Business (@ZeeBusiness) November 20, 2017
Citing seasonal trend, experts have said that prices of eggs usually rise during winter season. However this price hike has not been witnessed before.
The hike in prices was due to an estimated 15% increase in demand, a report by Financial Express on Monday quoted Executive member of the National Egg Coordination Committee (NECC) Raju Bhosale.
Bhosale added that this increase in prices was also due to costlier vegetables. Onions and tomatoes are now priced at Rs 40-50 per kg.
“When vegetables turn costly, people switch to eggs, pushing up its rates as well. This is a imple substitution effect,” Bhosale said.
Retail inflation is also expected to shoot up in November after reaching a seven month high of 3.58% in October.
"We expect CPI inflation to rise above 4% in November and stay above the RBI's target of 4% through 2018," Nomura said in a research note.
Bank of America Merrill Lynch analysts are of the opinion that consumer price index inflation will touch 4.5% in November.
The report also cited ‘lower realisation of eggs as well as broilers,’ which was linked to demonetisation of higher currency notes.