What changed
China’s national wholesale egg price fell to 9.64 yuan per kilogram from October 12 to 18, down 4.3% in a week and 13.7% over four weeks. At Beijing’s Xinfadi market, prices reached 7.98 yuan per kilogram on October 21, 25% below the level a month earlier. The decline followed weaker post-holiday demand and a rise in supply from newly laying hens in Hebei, Shandong and Liaoning.
Why it matters
The cheaper eggs reflect a market with plenty of supply, not a collapse in farming. National supply rose about 1% over the past month as hens added in April and May reached peak production, cooler weather improved laying performance and farmers kept older hens in production longer.
That balance is good news for households, but it is tightening the cushion for producers. Most farms remain profitable, with reported margins of roughly 0.3 to 0.6 yuan per jin, although profits are narrower than last month. Automation, cheaper feed purchases and better disease control are helping some farms stay in the black even as prices fall.
The near-term outlook is for prices to remain weak as egg consumption enters its traditional off-season without holiday demand to lift it. How far that decline reaches retail markets, and how long it lasts, remains uncertain.
Comments
No comments yet.