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Egg prices are soaring again due to a severe supply shortage caused by bird flu. The disease has killed millions of chickens in recent weeks, reducing egg production and driving up costs at grocery stores.
In December alone, over 13 million hens died from the virus, with another 3.3 million dying early in January. These losses are significantly impacting the egg supply chain, leading to sharp price increases.
The U.S. Department of Agriculture reported that egg prices reached an average of $4.15 per dozen last month, marking a nearly 37% increase from the previous year. This is far higher than the 2.5% rise in overall food prices. A decade ago, a dozen Grade A eggs cost just under $1.
The CDC revealed that over 130 million birds in the U.S. have been infected since 2022, with the disease spreading to cows and humans as well. Over 60 people have contracted bird flu, primarily through direct contact with sick animals on farms or dairy operations.
Economists attribute part of the price surge to regional concentrations of egg production. When a disease like bird flu hits specific areas, it affects multiple farms nearby, creating a significant disruption in supply. Additionally, increased demand during the holiday season and rising costs for inputs like feed and labor contribute to higher prices.
In some regions, such as the Midwest, outbreaks have been particularly severe due to climate patterns and the migration of migratory birds carrying the virus. Iowa, Ohio, and Indiana, which produce the majority of eggs in the U.S., are especially hard-hit.
Producers are taking steps like raising egg production with more chicks to offset losses, but it’s challenging to predict how much the disease will affect supply or profits for both farmers and consumers.
Egg prices are likely to fall as bird flu cases decrease and the supply chain recovers. However, ongoing outbreaks could see another rise in prices. Experts emphasize the importance of monitoring disease spread and taking measures to control its impact on both production and profitability.
Source: https://www.kcur.org/news/2025-01-21/eggs-expensive-bird-flu