Egg prices surge as farmers cull millions of birds
- An ongoing outbreak of viral infections has led to the culling of over 162 million birds in the US since 2022.
- Egg prices have skyrocketed, with grade-A eggs reaching averages of $4.95 in January 2025.
- Small businesses face tough decisions on pricing amid increasing costs and consumer pushback.
In the United States, a significant outbreak affecting egg-laying birds began in 2022, prompting farmers to cull large portions of their flocks. This health crisis has resulted in over 162 million birds being lost, significantly impacting the availability of eggs nationwide. More than 27 million birds have been lost to the virus in the current year alone, leading to drastic price increases. As a result, a dozen large grade-A eggs averaged $4.95 in January 2025, surpassing the previous peak of $4.82 in January 2023, highlighting the continuously fluctuating market. In response to the skyrocketing costs of eggs, bakeries and food businesses are re-evaluating their pricing strategies. For instance, Flour Bakery in Boston expressed challenges in managing their ingredient costs since eggs are a fundamental component in many baked goods, including pies, cakes, and bread. Traditional suppliers have started sending larger egg sizes, indicating that substitutions are being made amidst supply chain issues. Darrin McMillen from Grandview Bakery in Pittsburgh noted an alarming increase of 345% in the cost of pre-beaten eggs, leaving many small businesses like his in a position to absorb the costs or risk alienating price-sensitive customers. Some bakers, such as Sarah Botcher from Black Walnut Bakery in Minneapolis, initially experienced stable prices from their organic suppliers. However, they were faced with an impending price hike of 18%, demonstrating that even organic eggs are not immune to the economic pressures stemming from a limited supply. Black Walnut Bakery's situation illustrates that even a smaller increase can impact small businesses, especially when they are already functioning with slim margins. The entire situation has sparked discussions among consumers regarding the high costs of breakfast items, as major chains like Waffle House have been criticized for raising prices in response to increased egg costs. In the context of the American economy, such issues resonate deeply as eggs are widely regarded as a staple ingredient. With farmers taking actions like euthanizing flocks and implementing sanitation measures to combat outbreaks, the ongoing battle for egg production continues to unfold, showcasing the broader impacts on businesses and consumers alike.