Home | City | State | Business | Health | Sports | Gallery | Archives | About Us

Winter has arrived for egg-based restaurants

Every winter egg chains witness a rise in egg price but this year it has gone up much more than expected

GST has led to an increase in egg prices

Bangalore, November 23, 2017: The price of eggs-price, which is fluctuating since the past few days, is making it difficult for restaurants to evaluate their loss. Egg-based restaurants in the city, say that this is the first time in the past few years that they have seen such hike in egg-prices. They think that the price could go up further.

 "Every year from November to December, the egg-price sees a hike, and this is the first time in the last 3 years that it has increased to Rs 6,” said Kavita, Supply Manager of The egg factory. 

”Every winter we face a loss of about three to four per cent due to high price of eggs. But this year it seems that the loss will be around five to six percent. We buy 26,000 eggs in a month for all the five chains in Bangalore. This year we will face additional losses than previous year as in this season the rate of the eggs have seen a hike," she added

Winter season is meant to be the earning season for egg-based cafes, but this season it is turning out to be the other way round.

Mathen, Owner of Hole in the Wall café, said,"This is the egg season”. After October, people consume more eggs and only during this period the egg-price increases by 50 paisa. This year it has broken that bar and reached Rs. 7 at one point of time. We buy more than 2000 eggs a month.”
Bundar restaurant owner says, "We have very few egg dishes but they are more in demand these days, and the rise in price is making it difficult for us to earn profit, so I hope egg price won't increase further." 

The fluctuation in price of food items happens due to many parameters. The egg industry may have planned the rise in price to cover the new tax under GST. Suppliers who never came under the tax bracket, they have to pay tax and because of that there is rise in price of egg. It is the same situation in Guwahati as well" said Sheshadri, Economic and Business Professor.

"Rise in egg price has affected my food budget of the week since egg is a regular purchase in my household," said Priyanka, regular customer of egg.

Bengaluru WEATHER
Other IIJNM Publications