The foreshadowed rationalisation of Australia's $200 million State-based egg industry began in earnest yesterday with Farm Pride Foods Ltd unveiling a $2.8 million offer to buy South Australian Egg Co-operative Limited.

The Victoria-based egg marketer and processor - a former farmer co-operative which floated a little more than a year ago - said the move was in line with pressure from national retailers and food service customers who wanted national brands, national