RENUKA RAI | Thimphu
Bhutanese consumers are paying the highest prices for eggs in South Asia, with a single egg costing more than two-and-a-half times the average price in neighbouring India, according to a new market study that warns the current import policy is limiting competition and keeping prices beyond the reach of many households.
The report, The Egg Market Situation in Bhutan, carried out by the Competition and Consumer Affairs Authority (CCAA), concludes that the country’s long-standing ban on private egg imports has created a market where domestic prices remain persistently high despite government intervention through controlled imports.
Eggs are widely recognised as one of the most affordable and nutritious sources of protein. A single large egg provides around six to seven grams of high-quality protein containing all nine essential amino acids, in addition to vitamins A, B2, B12 and D, and minerals such as iron, phosphorus, zinc and selenium. For many Bhutanese households, particularly in rural areas and among low-income families, eggs remain the most accessible source of animal protein.
However, the report notes that affordability has become a growing concern. At the current retail price of around Nu. 18 per egg, a household purchasing one tray of 30 eggs each month spends approximately Nu. 540. For families earning below the median income, this represents a significant expense and may reduce regular consumption among children, pregnant women and older people who require higher levels of protein and essential nutrients.
To assess market conditions, the CCAA surveyed retail egg prices in 16 grocery stores and supermarkets across Thimphu in May 2026, followed by another round of price monitoring in June.
The findings show that the average retail price increased from Nu. 539.31 per tray, or about Nu. 17.98 per egg, in May to Nu. 548.25 per tray, or approximately Nu. 18.27 per egg, in June. Retail prices ranged between Nu. 500 and Nu. 600 per tray during the survey period.
The study found that these prices are significantly higher than the rates charged under government-controlled emergency imports managed by the Food Corporation of Bhutan Limited (FCBL). Imported eggs distributed by FCBL are sold at Nu. 330 per tray, equivalent to Nu. 11 per egg, around 39 percent lower than the prevailing market price.
Despite this price difference, the report says government intervention has failed to moderate the overall market. Even when imported eggs were available in June, retail prices for locally produced eggs remained high, suggesting that existing supply volumes and the current market structure were insufficient to create meaningful price competition.
The study also compared Bhutan’s egg prices with those in neighbouring South Asian countries using Indian Rupees as the benchmark currency, given the Ngultrum’s parity with the Indian Rupee.
The comparison shows that eggs cost between Rs. 7.00 and Rs. 7.10 in India, Rs. 6.13 to Rs. 7.50 in Pakistan, Rs. 8.40 to Rs. 8.75 in Bangladesh and Rs. 8.86 to Rs. 9.89 in Nepal. In contrast, Bhutanese consumers pay around Nu. 18 per egg, making eggs in Bhutan approximately 155 percent more expensive than the Indian average and the highest-priced in South Asia.
According to the report, even the subsidised FCBL import price remains between 65 and 96 percent higher than retail prices in India after accounting for transport, import duties and distribution costs. This, it says, indicates there is still room to reduce prices under a more competitive import system.
The report attributes the high prices primarily to Bhutan’s current import policy.
Under existing regulations, the Ministry of Agriculture and Livestock prohibit private egg imports. Imports are permitted only during acute domestic shortages and are handled exclusively by FCBL. While this arrangement aims to protect local poultry farmers, the study argues that it also shields the domestic industry from competition and removes incentives to improve efficiency and lower production costs.
The report states that a single-importer system cannot replicate the competitive pressures created by an open market.
It argues that allowing multiple licensed importers to source eggs from approved farms would encourage businesses to minimise procurement and transport costs, increase supply resilience and pass savings on to consumers. At the same time, domestic producers would face stronger incentives to modernise production, adopt improved feed management and strengthen farm efficiency to remain competitive.
Biosecurity has often been cited as the main reason for restricting imports. However, the report argues that these risks can be effectively managed through internationally recognised sanitary and phytosanitary measures rather than a blanket import ban.
It recommends importing eggs only from certified farms, requiring veterinary certification before shipment, strengthening inspections at border entry points and immediately suspending imports from any farm or country where disease outbreaks are detected. The report notes that many countries successfully import table eggs using such systems without compromising animal health.
While recommending greater market liberalisation, the study stresses that domestic poultry farmers should continue to receive government support during the transition.
Suggested measures include subsidised access to high-quality chicks, affordable poultry feed, improved extension services, concessional financing for poultry housing and temporary tax incentives that would help producers gradually adapt to increased competition. According to the report, such targeted assistance would strengthen rather than weaken Bhutan’s poultry sector.
The report ultimately recommends lifting the blanket prohibition on private egg imports and replacing it with a regulated import framework that permits licensed private businesses to import eggs from government-approved suppliers while complying with strict veterinary and biosecurity standards. It also calls for transparent sanitary protocols and a comprehensive producer modernisation programme.
The study concludes that Bhutan’s current egg prices are driven more by structural policy choices than temporary market shortages. It argues that protecting a relatively small domestic industry should be balanced against the interests of consumers, particularly low-income families who depend on eggs as an affordable source of nutrition.
According to the report, a carefully managed combination of regulated private imports and targeted support for local producers offers the most practical path towards reducing prices, improving food affordability and creating a more resilient and competitive egg market. Such an approach, it says, would benefit both Bhutanese consumers and poultry farmers while strengthening the country’s long-term food security.
