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31 January 2025

Egg Prices Surge To Record High Due To Avian Flu

Experts warn reports of shortages and higher prices could continue throughout winter.

The price of eggs has soared to record highs across the United States, with some areas reporting prices exceeding $8 per dozen, primarily driven by supply shortages due to the avian flu outbreak. Currently, the national average is pegged at $4.15 for large, grade A eggs. This marks a dramatic spike from previous months, leading consumers and businesses alike to feel the pinch.

According to Jason Chun at CNET, the rise can be largely attributed to the current bird flu epidemic which has devastated hen populations, causing millions of hens to be culled. The situation is dire, with some regions experiencing prices more than double their rate from six months ago. Despite the frustrating situation for consumers, grocery industry leaders maintain hope for eventual relief.

An additional concern voiced by food industry professionals focuses on the empty shelves seen across supermarkets. The Nebraska Grocery Industry Association’s executive director, Ansley Fellers, expressed the need for consumers to shop responsibly. "We want to remind consumers... signs in stores don’t mean there is a shortage; it’s to prevent a shortage,” he stated. The inflated prices and limits on consumer purchases reflect the pressing supply challenges caused by the avian flu.

Alongside Fellers, experts predict the market may not see relief anytime soon. Robert Fry, chief economist, noted, "Unless you can forecast the course of the bird flu in chickens -- and I can't -- I don't see how you can forecast the price of eggs." With strong winter weather also affecting supply chains, the uncertainty continues.

Shortage and price surges tell just part of the story. The U.S. Department of Agriculture reports alarming statistics on bird flu’s impact—over 13 million egg-laying hens died, signaling the highest losses recorded this past December. Historical parallels are drawn to the bird flu outbreak from 2014 to 2015, which similarly resulted in dramatic spikes, yet some experts suggest the current difficulties may linger longer. According to economic forecasts, egg prices may hover high through the winter, with predictions of easing to about $2.50 per dozen by the second quarter of 2025.

The sentiments from eateries and smaller businesses leveraging eggs within their menus highlight the widespread consequences of soaring prices. Allan DiBenedetto, owner of Plaza Bagels and Deli, shared firsthand the impact of these price fluctuations, noting eggs have jumped from around $2.30 to $6.98 per dozen. DiBenedetto lamented, "The current prices, [...] are not normal, [...] at this point, the cost increase is so great." His establishment has had to raise prices accordingly, responding to the surge with some lamentation as he conveyed, "You can only eat so much."

It’s not just the delis feeling the strain; restaurants with significant egg use are caught off-guard by the rising costs. Vinnie Morelli, owner of Vinnie’s Mootz, remarked on the unpredictable pricing. "One day, we pay $ [...] next day, [...] we pay $$$," illustrating the difficulty of adjusting to such volatility. Spiro Hadjiyerou from the Colonial Diner found himself revisiting budgets drastically, highlighting his weekly egg expenditures spiraled from $1,200 to around $5,400, adding, "I have never seen this ... if it gets worse, I don't know what we are going to do."

The broader ramifications of these price shifts across the food supply raise questions. With the USDA projecting prices to increase by around 20% through 2025, food service analysts are wary. The current needs of countless diners and delis across the U.S are balanced against persistent inflation and fluctuated supply. The uphill battle continues, as noted by Nino Coniglio, who operates several establishments across New Jersey and New York. He recognizes the uncertainties and shifting costs emotionally but has managed relatively stable customer pricing.

Coniglio’s reflections touch on potential long-term shifts needed within the food supply chain. He advocates for solutions to avoid future crises, proposing subsidies for local farms to create more resilience: "We should increase subsidies to local and mid-range farms..." This consideration signifies not only the economic struggle but also the hunger for solutions after experiencing repeated challenges with bird flu outbreaks.

While egg prices are sure to remain elevated for the time being, economy experts are optimistic—if the bird flu outbreak stabilizes, additional egg sources will emerge, gradually restoring supply. The consensus suggests patience, shopping sensibly, and preparing for continuing change. For those who have come to rely on eggs as staple food items, their sharp rise highlights the complex interplay of natural events, supply chains, and consumer behavior—watching how this situation evolves can provide insight and perhaps lessons for the future.