Egg shortage likely following MRP announcement

The maximum retail price (MRP) imposed by the authorities on eggs is likely to cause an egg shortage in the

market, according to poultry industry stakeholders. 
Eggs are considered the cheapest source of protein in Sri Lanka’s carbohydrate-heavy diet. 
The Consumer Affairs Authority on August 19 introduced new maximum retail prices for eggs effective immediately.

The maximum retail price for a white egg is now Rs.43 while for a brown/red egg is Rs.45. Although there isn’t a nutritional difference between white and brown/red eggs, for some inexplicable reason authorities have imposed different MRPs for the two types.
Egg prices have been on the up and was retailing between Rs.60-65 before the MRP was slapped. 

With the forex shortage, the poultry industry is facing numerous challenges with animal feed importation getting affected. The local production of animal feed was impacted by the ban on chemical fertiliser imports.
The fuel shortage, rupee depreciation also dealt a crippling impact on the poultry industry. As a result, the industry has witnessed higher cost of production.
According to agronomist Ajith H.Gunasekera, who is the Chairman of All Island Poultry Association, around 50 percent of the small and medium farm owners have left the industry due to high production costs and low income.

He also said under the prevailing circumstances, the production cost per egg is Rs.49 which is above published retail prices.
In Sri Lanka’s recent history, MRPs have ultimately resulted in massive shortages of goods and in the creation of a thriving black market.