Antigua and Barbuda: PM Browne slams ‘Egg Cartel’ for unjustified 18% price hike

Antigua and Barbuda: Prime Minister Gaston Browne has publicly condemned the recent 18% price increase by the egg cartel and is questioning the justification for such a hike amid a few heat waves.

Through a Facebook post, Browne asked, “How can the egg cartel increase prices because of a few heat waves? When it gets cooler are they going to reduce the price?” He also emphasized that the government will not be protecting the egg cartel if they opportunistically increase the price of eggs.

The Prime Minister also noted that cartel is an association of suppliers or manufacturers who serves the purpose of maintaining prices at a high level and restricting competition.

According to the information, the Antigua and Barbuda Layer Farmers Association announced an increase in the cost of both white and brown eggs in the country. Effective from Monday, September 16, the prices of both varieties moved from $12.00 per dozen to $14.00, or $420.00 for each case, up from $360.00.

Initially the association said that this is because of the increasing input costs, which it can no longer continue to absorb but later it blamed the heatwave for the hike in egg prices.

While slamming the association, PM Browne highlighted that egg producers already enjoy several benefits, which includes waivers on inputs such as chicks and feed and they pay no income tax and they also enjoy a reduced water prices of 25%.

Additionally, he said a 40% tariff on imported eggs and an import permit is required for imported eggs which further protects local producers. “Where the egg producers can satisfy the market, import license is prohibited,” he added.

However, the Poultry Association has failed to provide any justifiable reason to increased prices by 18 percent.

In order to protect consumers especially the poor and vulnerable, Browne revealed plans to open the market and eliminate the tariff on imported eggs to drive down the costs.

He further advised egg farmers to put their price increase on holding pending discussions with the Cabinet and labelled the unilateral increase “an affront to all stakeholders.”

This announcement by the Prime Minister came as a relief to several consumers who took to social media to express their sigh of relief. 

“Gaston Browne thank you for your clarification. Much appreciated,” wrote a user named Phelicia Tonge while another user suggested, “Allow supermarkets to import and you see they get dem acts together” to which the Prime Minister replied, “That’s precisely what we will do.”