Core Viewpoint - The egg market is experiencing a downturn despite the traditional peak season, with prices falling below production costs, leading to significant losses for farmers [1][4]. Group 1: Market Conditions - The price of eggs has dropped significantly, with current selling prices around 2.8 yuan per jin, compared to over 4 yuan per jin last year, indicating a near 50% decrease [1]. - In July, there was a brief increase in egg prices, reaching over 3 yuan per jin, but this was followed by a nearly 20% decline within a week [1]. - Retail prices have also fluctuated, with prices rising from 4.3 yuan to 4.8 yuan per jin and then falling back to around 4.2 yuan, which is nearly 1 yuan cheaper than last year [1]. Group 2: Supply and Demand Dynamics - The supply of eggs is high due to an increase in the number of laying hens, which reached a peak of 1.356 billion by the end of July, coupled with favorable production conditions for large-scale farms [4]. - The average wholesale price of eggs in the national agricultural market was 7.54 yuan per kilogram on August 12, down approximately 27.29% from 10.37 yuan per kilogram the previous year [3][4]. - Factors contributing to the low demand include a decrease in egg consumption in major cities and competition from other protein sources like pork and duck eggs [5]. Group 3: Cost Pressures - Rising feed costs are impacting profitability, with corn prices increasing from 1,800 yuan to 2,500 yuan per ton, and soybean meal prices fluctuating significantly [2][3]. - The cost of feed for a farm with 13,000 hens can reach nearly 2,000 yuan per day, exacerbating the financial strain on farmers [2]. Group 4: Future Outlook - Despite potential increases in demand due to seasonal factors like the start of school and the Mid-Autumn Festival, the ongoing supply pressure is expected to limit significant price increases, with forecasts suggesting average prices may not exceed 4 yuan per jin in the coming months [5].