The sharp increase in egg prices over the past year has been primarily linked to the impact of bird flu on the supply chain, the Hill reports.
According to the Bureau of Labor Statistics, the price of eggs has risen by 28.1% in the last 12 months, with the average cost of a dozen large eggs now at $3.20.
One major factor behind the price surge is the outbreak of highly pathogenic avian influenza (HPAI), commonly known as bird flu, which has devastated chicken farms. The Centers for Disease Control and Prevention (CDC) reports that bird flu has affected over 100 million birds across 48 states since January 2022. The outbreak was particularly severe in Colorado in July, resulting in significant losses in egg production.
“Bird flu is the number one reason for higher prices, absolutely,” grocery industry analyst Phil Lempert told CNN.
The virus spreads rapidly among chickens housed in large, crowded facilities, leading to the culling of entire flocks once a single bird is infected, further reducing egg supply.
Facilities producing table eggs are often enormous, meaning a single outbreak can lead to the loss of millions of birds, according to Amy Hagerman, an agricultural economics expert at Oklahoma State University. This reduced supply has contributed to the price spikes seen nationwide.
However, the rise in egg prices is not solely due to bird flu. Inflationary pressures have also played a significant role, said Emily Metz, president of the American Egg Board. Higher fuel, labor, and packaging costs have further driven up prices.
“Egg farmers are price takers, not price makers,” Metz explained.
She emphasized that many factors outside the control of egg producers are contributing to the volatility in the market.
