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31 January 2025

Egg Prices Soar As Bird Flu Hits Supply Chains

Consumers face record-high egg prices as bird flu devastates poultry supplies nationwide.

Record-high egg prices have become the latest impact of the enduring bird flu crisis. With inflation increasingly pinching consumer wallets, egg prices are now averaging around $6 per dozen, significantly up from $4.15 recorded just last month.

The U.S. Department of Agriculture recently reported severe losses within the egg-laying hen population, with over 13 million birds affected by bird flu just last December. This staggering statistic explains why consumers are now facing inflated prices at grocery stores across the United States. "We're not yet at the peak price we saw when inflation got pretty high and bird flu cases were severe, which reached about $5 a dozen," said Ansley Fellers, executive director of the Nebraska Grocery Industry Association, highlighting the extent of the current crisis.

Fellers explained the delicate supply-demand equilibrium, asserting, "Yes, the prices are higher due to the bird flu, but buying only what’s needed can help avoid potential shortages." Grocery signs addressing price increases are strategic, not indicative of widespread shortages.

This crisis reverberates beyond grocery aisles; small businesses like Chez Peachy Bento Cake Cafe are feeling the effect firsthand. Owner Christa Lebron, whose ingredient costs have dramatically increased, lamented, "That’s like a massive price increase and honestly, it took us a bit back, but we can't really operate without eggs. We kind of have no choice." Previously, she was able to buy 15 dozen eggs for approximately $70-90, but now it costs around $165 for the same quantity.

Such increases are not just statistics; they have real-life consequences for both bakeries and diners alike, as Lebron shared her adjustments: "We’re grateful for the support our customers are giving. Without them, it would be significantly tougher to manage these rising ingredient costs." With up to 100 eggs used weekly, her financial juggling act is no small feat.

The bird flu situation has prompted organizations like Peta to step in, providing educational resources on egg substitutes, and reminding consumers about alternative ingredients like tofu, chickpeas, and even aquafaba. Apparently, some of the cheapest items are now vegan, with blocks of tofu priced around $2-3.

Restaurants across cities like Louisville, Kentucky, are similarly facing the heat. Jennifer Oller, manager of Wagner’s Pharmacy, noted, "I do not want to take and pass [higher prices] onto a customer for no reason." Oller began noticing egg prices increasing dramatically around November, with the price per egg rising from $0.38 to $0.55 by December. The challenge now lies in maintaining menu prices without shortchanging ingredient quality.

Andy Abbajay, CEO of Wild Eggs, concurs with Oller's stance and emphasizes the importance of using high-quality ingredients, stating, "The guest experience rests on the quality of ingredients like eggs." Each restaurant is responding with tactical measures to balance costs—from negotiating wholesale prices to exploring size adjustments with egg purchases.

The overall sentiment within the food and grocery industry reflects cautious optimism; folks hope for future price stabilization. With fluctuatory commodity markets, many like Abbajay expect the situation to ease over the coming months. While grocers navigate immediate uncertainty, consumers eagerly anticipate the long-term outcomes of these changes.

Whether it’s education on substitutes or strategic price management, the egg industry's adjustment showcases resilience amid adversity, driven by necessity. Without question, the bird flu has reshaped the culinary purchasing patterns across America, compelling businesses and individuals alike to rethink their relationship with this kitchen staple.