India’s egg export sector is facing a challenging phase as soaring freight costs and persistent logistics bottlenecks weigh on shipments, even as global demand for eggs remains firm.
Exporters say a sharp rise in ocean and air freight rates, coupled with limited container availability, has significantly increased the cost of shipments. This has eroded India’s price competitiveness in key markets, particularly in West Asia, forcing exporters to either absorb higher costs or scale back volumes.
The situation has been aggravated by congestion at ports and delays in vessel schedules. Several consignments have reportedly been held up or delayed in transit, raising concerns among exporters dealing with a highly perishable commodity. With strict shelf-life requirements, even minor disruptions can result in substantial financial losses.
Ironically, international demand for eggs continues to remain strong, driven by supply shortages in several importing countries and growing consumption of affordable protein. Under normal circumstances, this would have created a favorable environment for Indian exporters to expand their market share.
However, the current logistics challenges have slowed export momentum, leading to a build-up of supplies in domestic markets. This has put downward pressure on prices in key production centres, impacting poultry farmers and exporters alike.
Industry stakeholders are now calling for government intervention to address the issue. They have sought measures such as rationalisation of freight rates, improved container availability, and faster port clearances to ease the bottlenecks.
Unless these challenges are resolved quickly, exporters warn that India risks losing out to competing countries, despite having a strong foothold in the global egg market.