A 9,000-layer farm swung from a 25-paisa loss per egg to a Tk 1.45 profit
A four-brother layer farm in Birol, Dinajpur had an egg production cost of Tk 9 two months earlier and sold below that. As heat cut output and prices rose, profit is now Tk 1.45 per egg, but farmers complain about price-setting and import pressure.
In Bilaimari, Birol, Dinajpur, four brothers run a layer farm with 9,000 hens. According to a 2023 Prothom Alo report, two months earlier the cost of producing each egg was Tk 9, but they had to sell for at most Tk 8.75, losing about 25 paisa per egg. Then weather changes cut production by 30 percent and the cost per egg rose to Tk 9.80. Egg prices also rose: the day before the report the farm sold each egg for Tk 11.25, a profit of Tk 1.45. One of the brothers said egg prices in Dinajpur are set by two large companies, and farmers must sell to the wholesaler 15 paisa below whatever price they fix. A company officer said the price is set from Tejgaon in Dhaka. The district has 341 layer farms, ranging from 500 to 50,000 hens. Another farmer said hens die in the heat, Indian eggs, chicks and medicine enter the market without notice, there is no government policy for the poultry industry, small and medium farms cannot compete with large corporates, and so about 40 percent of farms in the district are close to shutting down.
Lessons
- 1.Track egg production cost against the daily market price; with cost at Tk 9, a price just below it means a loss.
- 2.Heat cuts output and raises cost per egg, so budget separately for the hot months.
- 3.Small farmers have little bargaining power and may sell below company-set prices; build that into the margin.
We published this with the person's permission, without revealing who they are.
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