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Middlemen accused of manipulating egg prices as consumers face steep hikes

Kathmandu

Paying Rs 25 to Rs 30 for a single egg has now become a common experience for Nepali consumers.

Radhika Maharjan of New Baneshwor, Kathmandu, said she paid Rs 600 for a crate of small eggs just five days ago. “The price of eggs has increased three to four times within a single month. I cannot understand why prices have risen so sharply,” she said, adding that continued price hikes would force households to cut expenses.

Despite the wholesale price of small eggs being fixed at Rs 464.28 per crate since Mangsir 23, consumers are paying up to Rs 25 per egg. Based on the wholesale rate, the retail price should not exceed Rs 17 per egg, but retailers are selling eggs at significantly inflated prices.

Consumers have complained that regulatory bodies such as the Department of Commerce, Supply and Consumer Protection have failed to conduct market monitoring or take action, allowing widespread overpricing to continue.

Arjun Bhandari of Babarmahal said he had to pay as much as Rs 520 per crate for small eggs. When he questioned shopkeepers about charging more than the fixed rate, they cited egg shortages or refused to sell. “Even by calculation, small eggs cost Rs 24–25 per piece. We rarely see medium or large eggs in shops and are forced to pay the price of large eggs for small ones,” he said.

Repeated price hikes

In the previous month alone, the Nepal Layers Poultry Farmers Association revised egg wholesale prices four times. On 10 Kartik, the association fixed prices at Rs 500 per crate for large eggs and Rs 450 for medium eggs. It then revised prices on 3, 7, 13 and 23 Mangsir.

From 3 Mangsir, prices were set at Rs 450 for large eggs, Rs 435 for medium eggs and Rs 2,600 per box for small eggs. On Mangsir 7, prices were raised again, fixing XL eggs at Rs 520 per crate, large at Rs 505, medium at Rs 490 and small eggs at Rs 3,150 per box. On 13 Mangsir, prices increased by another Rs 40 per crate for XL, large and medium eggs, while small eggs rose by Rs 100 per box. On Mangsir 23, prices were raised again by Rs 20 per crate.

Between Mangsir 3 and 23, egg prices increased by 11.54 to 26.44 per cent across categories, directly affecting household kitchens. Small eggs alone rose by about 25 per cent.

Allegations of cartelisation

Consumer rights activist Madhav Timilsina said associations fixing prices of agricultural products are illegal and constitute cartelisation. “Fixing prices four times in a single month violates prevailing laws, the Consumer Protection Act and the Constitution,” he said, accusing government bodies of remaining silent despite being aware of the issue.

Association’s response

Association Chairperson Binod Pokharel claimed the group does not fix prices but only recommends a “support price” based on production costs and market conditions. He attributed the price rise to increased feed, medicine and operational costs, lower winter production and a decline in the number of farmers.

Dispute over production cost

A recent expert committee report estimated the cost of producing one egg at Rs 19.12, up from Rs 16.56 previously. However, some farmers dispute this figure, claiming production costs are only Rs 14–15 per egg and alleging price manipulation by large producers and middlemen.

The Department of Livestock Services said egg prices are determined by the private sector and market forces, though it is willing to facilitate discussions if stakeholders seek coordination.

As egg prices continue to rise, consumers remain burdened while questions persist over regulation, transparency and accountability in the market.

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Kafle is a business correspondent at Onlinekhabar.

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