The Geolocation of the eggs

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The recent surge in the price of eggs, which increased 40% between January and February 2025, brought this food to the center of the economic debate.

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There were those who correlated the price in Brazil with the increase in the United States, but this hypothesis can be easily ruled out, since only 1% of Brazilian egg production is exported.

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The discharge of eggs has an important impact because they are present in almost 100% of households.

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Its culinary versatility also contributes to its high penetration, from simple everyday preparations to gourmet dishes, eggs are essential ingredients in cakes, pasta and other recipes.

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Additionally, individual consumption has been rising, from 120 eggs/person in 2007 to 241 eggs/person in 2022.

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This 195% growth compared to the mid-1990s pattern reflects the change in dietary habits, mainly as a result of the loss of purchasing power of families, who find in eggs a substitute for more expensive animal proteins, such as beef.

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Local production

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There was a time when families kept small chicken coops at home as a source of eggs and chicken meat, but today this is rare.

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Even so, the memory is vivid and no one considers that producing eggs is a mystery, with several farms in farms and farms.

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However, egg production has been transformed by industrial processes.

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On the other hand, something that hasn't changed is the importance of proximity to consumer centers.

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This is because transporting eggs over long distances can be very complex due to the care taken in handling such a fragile product and its perishability when not chilled.

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Never before

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In 2022, egg production in Brazil reached historic records, with 4.06 billion dozens produced (about 48.7 billion units).

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The table below shows the estimated production in the main producing states, adjusted for the size of their population.

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From a geographical point of view, egg production in Brazil is moderately concentrated: the 4 main states (SP, PR, MG, ES) account for about 53% of production.

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But some of these states are also major consumers of eggs, or sell their surplus to neighboring states.

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Multiple eggs in the same cluster

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Industrial-scale production takes place in poles, which are cities or groups of cities optimized for this activity.

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São Paulo represents 30% of the national volume, especially the municipality of Bastos-SP, known as the “Egg Capital”, alone responsible for 11% of Brazilian production

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This productive cluster in the interior of São Paulo, the Tupã/Bastos region, contains dozens of highly technological farms that supply markets in various states and the industries that produce food from eggs or egg products.

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Other important centers include Santa Maria de Jetibá-ES, a national highlight in chicken and quail eggs, and centers in the Northeast, such as São Bento do Una-PE and the Fortaleza-CE region, the latter growing to be the 5th largest domestic producer by volume.

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In business terms, the market leader is Granja Mantiqueira, which has about 14.7 million laying hens and produces around 4 billion eggs a year, representing 8% of national production.

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This shows a market still pulverized by local productions of various scales.

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No competition with the foreign market

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Placing Brazilian eggs abroad involves overcoming major logistical obstacles.

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Shipments to distant markets are often via sea transport in air-conditioned containers, which can take weeks.

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For example, the transit time to South Africa is up to 20 days by ship

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Maintaining egg quality during this period requires strict cold chain and precise logistical coordination, from quick customs clearance to monitoring conditions inside containers.

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Any failure, such as port delays or refrigeration breaks, can make cargo unfeasible.

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In addition, the export of fresh eggs competes with the alternative of exporting processed egg products (pasteurized liquid eggs, powdered eggs, etc.), which, although they require industrialization, are less perishable and easier to transport.

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Apprenticeships

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Egg logistics teaches us that when a product is widely adopted, with high demand, pressure passes to productive capacity.

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Brazil has high capacity and is expanding it, but the characteristics of fragility, perishability and low unit value mean that production has to take place closer to the centers of consumption.

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This creates inefficiencies in consumption centers where demand is not fully met, since, due to the logistical challenges specific to eggs, it is not so easy to bring eggs from other centers where production is in excess.

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Because of this geographical asymmetry between supply and demand, the price rises.

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