Feed-cost surge pushes up India’s egg and chicken prices
Higher maize and soybean meal costs are squeezing poultry producers and driving retail egg and chicken price inflation. Hyderabad ex-farm egg prices rose 15% month-on-month and nearly 40% year-on-year in July, with retail prices reaching ₹8.5–₹9 per egg.
What happened
India poultry sector · Rising maize and soybean meal costs, weather disruption and tighter crop supplies are lifting Indian egg and chicken prices. Feed
Key facts
- Poultry feed prices rose about 15% to ₹4,400 per quintal from roughly ₹3,600 a year earlier
- Maize comprises roughly 55-60% of poultry feed
- Soybean meal costs ₹62,000-₹65,000 per tonne
- Industry estimates a soybean meal shortage of about 1.5 million tonnes
- Industry planned a 25% production reduction in June
- Hyderabad ex-farm egg prices rose 15% month-on-month and nearly 40% year-on-year in July
- Retail egg prices reached about ₹8.5-₹9 per egg
- India produced 149.11 billion eggs in 2024-25
- Commercial poultry accounted for 84.49% of egg production
Why this matters
The feed-cost shock increases the strategic value of investments or partnerships in poultry integration, feed sourcing, and cold-chain supply resilience.
What to watch
- Weekly maize and soybean meal prices, especially changes in poultry feed cost per quintal.
- Egg ex-farm prices in Hyderabad and other benchmark markets versus retail shelf prices.
- Broiler chick placements, layer flock culling, and reported production cuts by poultry farms.
- Monsoon progress, crop yield expectations, and any import, stock-release, or feed-market policy actions.
- Retail volume trends for eggs and fresh chicken relative to pulses, paneer, and other affordable proteins.
- Festival-season demand and foodservice menu-price changes.
- Grocery chains should shorten poultry and egg price-reset cycles, prioritize regional sourcing, and negotiate indexed supply contracts with poultry integrators.
- Retailers should expand value protein alternatives, including pulses, soy products, dairy, and smaller chicken pack sizes, to retain price-sensitive shoppers.
- Quick-commerce and foodservice operators are likely to raise egg-based and chicken-based menu prices, reduce promotional intensity, or adjust portions.
- Large organized poultry brands may gain share as smaller farms face working-capital pressure and reduce production.
- Retailers should monitor margin exposure in bakery, mayonnaise, prepared foods, frozen snacks, and restaurant concessions that use eggs or chicken as inputs.