Economics

Local Egg Producers Criticize Government’s Decision to Resume Imports

The decision to resume egg imports has faced fierce opposition from local producers, who argue that Sri Lanka can meet domestic demand with locally produced eggs, even during peak festive periods, though at a higher price than the government’s import offer.

The government announced last week that it would restart egg imports to stabilize prices and ensure supply for Christmas and Ramadan festivities. This move has been criticized by local producers, who assert that the high costs of local production, exacerbated by government policies, prevent them from competing with imported prices.

Mathalee Jayasekera, President of the All Island Poultry Association, explained that local egg prices range between Rs. 40-42, with some areas seeing prices as high as Rs. 50. He attributed the higher costs to a significant shortfall in domestic maize production, which dropped from an expected 400,000 MT to only 150,000 MT. The local egg industry needs at least 700,000 MT of maize annually for poultry feed.

Jayasekera also criticized the government’s policy of allowing maize and soybean imports on an open account basis only to large-scale feed producers, leaving small-scale farmers to pay higher prices for maize. He suggested that small-scale farmers, who use natural feed, could contribute to the supply chain at more competitive prices if given the opportunity.

The Sri Lanka Association of Animal Production (SLAAP) echoed these concerns, with President Ajith Gunasekara accusing the government of prioritizing electoral considerations over supporting the local industry. Gunasekara warned that the continued importation of eggs, despite the Rs. 5,600 million already spent on 244 million imported eggs, threatens the survival of local producers. He called for a consensus among authorities, ministries, and industry stakeholders to establish a fair price that supports both consumers and local producers.