Slump in egg prices sends Zangap LLC bankrupt: Who is next?

Zangap LLC which has a poultry factory in Geghanist, Kotayk marz, has gone bankrupt due to a recent dramatic decline in egg prices in the Armenian market.

Gagik Mnatsakanyan, the owner and Director of the Company, is convinced that the drop in prices is caused by damping by other players in the market.

“I think that what has happened in the market is that some people wanted to take the driver’s seat in the monopoly of the market, so that to simply push us off the market. Today an egg is sold for 10 AMD, while the cost price of an egg here is 30-32 AMD. For how long could I sell the eggs cheaper than the cost price? I was losing 100-120 thousand AMD per day,” said he, adding that he had to behead about 10,000 hens.

“We had bought one hen for 2300 AMD but had to behead them and sell for … 250 AMD each,” said he.

Further Mr Mnatsakanyan said that he had gone bankrupt and that the case is already in the court, adding his losses made up a total of $100,000 USD due to the drop.