The Victorian Farmers Federation Egg Group president, Brian Ahmed, said rising fuel prices were eating into egg producers’ earnings.

Mr Ahmed said the egg industry was already a victim of the factors leading to rising food prices.

"Producers have been forced to absorb much of the historic highs being experienced with grain prices, which represent over 50 per cent of input costs," Mr Ahmed said.

"Now on top of that we are being hit with these fuel price increases.

"Something has to give or egg production just won’t be viable. Unfortunately consumers may be facing an increase in egg prices sometime soon if fuel prices keep going the way they are."

Mr Ahmed said the drought continues to pressure primary producers throughout Victoria and it seems the increased cost of fuel will have to be passed on at some stage to consumers.

"The alternative is we will have very limited numbers of farmers left and that is in no one’s best interest," Mr Ahmed said.