Bangladesh's poultry sector-long a pillar of rural livelihoods and a critical source of affordable protein-is facing a dangerous imbalance. Marginal farmers, who form the backbone of egg production, are now selling below cost for months on end.
With production costs hovering around Tk 9.5-10 per egg and market prices falling to Tk 6.5-8, the math is brutally simple: survival is becoming impossible.
This is not a short-term fluctuation. Four consecutive months of losses have pushed many small farmers into debt traps, forcing them to shut down operations, default on electricity bills, and abandon loans. Some have even migrated abroad or fled their homes under financial pressure. What we are witnessing is not just a cyclical downturn-it is the gradual erosion of a decentralized agricultural system that once empowered thousands.
Several factors are at play. Seasonal demand shifts during Ramadan, when consumer spending prioritizes iftar items over eggs, have contributed to lower demand. At the same time, previous high prices encouraged overproduction, leading to a supply glut. Inflation has further weakened purchasing power, compounding the problem.
Yet, these market explanations do not fully justify the scale of distress. Structural weaknesses-particularly the dominance of middlemen, lack of transparent pricing, and inadequate market access for small farmers-have amplified the crisis. When farmers are compelled to sell at prices far below cost while intermediaries maintain margins, the system is clearly failing its most vulnerable participants.
The consequences of inaction could be severe. If marginal farmers continue to exit, the poultry industry risks consolidation in the hands of a few large corporations.
Such concentration would not only undermine competition but also expose consumers to price manipulation in the long run. Today's low prices could easily become tomorrow's unaffordable essentials.
The policy response must be swift and targeted. Establishing dedicated sales centers for marginal farmers could reduce dependency on intermediaries and improve price realization.
Expanding access to low-interest loans and offering temporary subsidies-particularly for electricity and feed-would provide immediate relief. Introducing farmer cards and ensuring their effective distribution could streamline support mechanisms.
Equally important is long-term market reform. Transparent pricing systems, improved storage facilities, and better demand forecasting could help stabilize the sector. Policymakers must also consider differentiated taxation or incentives to ensure fair competition between smallholders and large corporate producers.
The poultry sector, valued at around Tk 50,000 crore, is too important to neglect. It sustains rural economies, generates employment, and ensures nutritional security. Protecting marginal farmers is not merely a matter of equity-it is an economic necessity.
If Bangladesh fails to act now, it risks losing not only its small farmers but also the resilience of an entire food system.
