The pair were visiting the Bibiganj market area in Uttar Pradesh's Jaunpur district, in India, when they began arguing, police said.
To settle the disagreement, they agreed on a K20,719.86 (Rs 2,000) bet that each could be the first to eat 50 eggs in one sitting.
Police say Subhash Yadav had just begun eating his 42nd egg when he collapsed and fell unconscious.
The 42-year-old was rushed to hospital but died just hours later.
Doctors believe Mr Yadav died from overeating, according to the Indo-Asian News Service.
However his family has refused to comment on his death.
In August this year, Dana Hutchings died after choking and hitting his face on a table as he fell to the ground during a taco-eating contest in California.
Medical staff attempted to clear airway of food but he died less than half an hour after arriving at hospital.
Bethan Gaskin, 24, also choked to death in February while trying to see how many Jaffa Cakes she could fit inside her mouth.
The young mother stopped breathing and suffered a heart attack after they became lodged in her throat.
Student Caitlin Nelson, 22, collapsed just minutes into a pancake-eating contest during a charity fundraiser at Sacred Heart University in Connecticut, US, in 2017. She later died in hospital.