In December, prices for chicken eggs in Ukraine may increase by 15–20%, predicts Serhiy Karpenko, executive director of the association “Union of Poultry Farmers of Ukraine.” According to him, no significant changes are expected by the end of November — the market is influenced by falling demand and electricity supply disruptions, which have already caused a 20% drop in prices for poultry meat and eggs.

The December price increase is likely to return prices to the October level. The main driver will be the growth of production costs, particularly due to the use of generators. Karpenko emphasizes: stable electricity supply is critically important for the incubation and rearing of young laying hens, which lasts four months. Without it, it is impossible to adhere to technological standards.

Electricity accounts for 7% to 12% of the cost structure, and up to 30% for certain types of products. Given the multi-stage production process, each stage adds costs, leading to an exponential increase in prime cost.

Another factor is the increase in the price of compound feed, which accounts for the largest share of the cost price. Its production also depends on electricity, which triggers a chain reaction of rising prices for all components involved in poultry meat and egg production.

Source: UNIAN