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According to the Rosstat report, the production of chicken eggs in agricultural enterprises increased by 4.9%, or 459.6 million units, in the first quarter of this year. Galina Bobyleva, the CEO of the Russian Poultry Union, emphasized a significant increase in production, which inevitably affected prices. According to AKORT, egg prices in the association's member networks decreased by 14% in March. At the same time, retail prices on average dropped by 1.6% in the week from April 8 to April 14, and compared to last year, by 8.5%. The egg market was supported by poultry farmers to ensure stability for the Easter holiday.
Eggs were included in the list of socially significant food products in early February, which allowed producers not to pay rewards to retailers. Olga Mokhova, the first deputy CEO of the company "Volzanin," one of the largest egg producers in Russia, mentioned that egg prices started to decline from the second half of February. The price drop was primarily noticed in the federal chains. A significant supply at these auctions led to price reductions. The decrease in wholesale prices affected the market price.
Mokhova noted that large producers selling on contracts still have sufficient margins to maintain their operations, but medium and small producers are forced to sell their products at wholesale prices, which are often below market prices and significantly lower than production costs.
In the company "Volzanin," there was no significant increase in the demand for eggs before Easter. However, they also did not observe a refusal of previously agreed sales volumes. According to Mokhova, having a product without shortage and its availability smoothens the seasonal excitement. She noted that a similar even trend was observed in the company before the New Year holidays.
The decrease in the market price of eggs may be problematic for enterprises, as the production cost has significantly increased, primarily due to rising prices for wheat and other plant ingredients for feed. Mokhova warned that despite the analysts' forecast of an increase in wheat harvest this year, a low yield is expected, which may worsen the situation for livestock farmers.
The Center for Strategic Developments published the "Easter Index," comparing the cost of ingredients for making Easter dishes - kulich, eggs, and Easter cottage cheese - by region in Russia for a family. The average cost of products was 495.35 rubles. The lowest cost was in the Volga region - 428.6 rubles, and the highest was in the Far Eastern Federal District - 646.8 rubles.
