Iran’s egg sector faces imminent collapse

Iran’s egg industry, once a cornerstone of the country’s agricultural economy, is now teetering on the edge of collapse.

David Corredor

Iran’s egg industry, once a cornerstone of the country’s agricultural economy, is now teetering on the edge of collapse. Since the start of the Persian calendar year on March 20, 2025, poultry farmers have reported staggering losses exceeding 20 trillion tomans (approximately \$48 million), raising alarms across the sector.

• Despite producing between 3,500 and 3,600 tonnes of eggs daily, the industry is suffering from a severe profitability crisis.
• Current farmgate prices range from 30,000 to 35,000 tomans per kilogram—about 45,000 tomans below production costs.
• This mismatch has driven profitability to a negative 20%, making it nearly impossible for farmers to sustain operations.

The root causes of the crisis are multifaceted. A chronic shortage of feedstuff—such as corn, rapeseed, and sunflower meal—has forced farmers to purchase inputs on the open market at double the price of government-subsidized rates. Although Iran operates a state-controlled system for distributing feed through the Agricultural Ministry, supply has been insufficient to meet demand.

• Additionally, the government’s regulated pricing system, designed to keep consumer costs low, has become unsustainable.
• Farmers are unable to cover their rising expenses, which include feed, energy, labor, and veterinary supplies.
• The suspension of state purchases of surplus eggs has further strained the supply chain, leaving producers with unsold inventory and mounting losses.

Hamid Reza Kashani, chairman of the Mihan Poultry Farmers’ Union, has called for urgent intervention. He urged authorities to immediately purchase 50,000 tonnes of eggs at a guaranteed price of 74,500 tomans and to ensure long-term access to affordable inputs. Without such measures, Iran risks falling below self-sufficiency levels and may be forced to import eggs once again.

The crisis not only threatens the livelihoods of thousands of poultry farmers but also jeopardizes food security for millions of Iranians who rely on eggs as an affordable source of protein. As economic pressures mount and inflation continues to rise, the future of Iran’s egg industry hangs in the balance.