Why Are Egg Prices So High?
“WHY ARE EGG PRICES SO HIGH?”
How many times have you heard THAT question being asked over the last twelve months?
At this point, eggs have become a weird sort of thermometer for the nation’s economy. Who knew that one day, it wouldn’t be what the Detroit auto industry, or even Fannie Mae and Freddie Mac, had to say about the economy, but instead, the humble little nugget that comes out of a chicken’s back end?
There’s been a lot of finger-pointing and back-and-forth about what has caused egg prices to rise so astronomically. Joe Biden. Donald Trump. Bird flu. The Illuminati (I made that last one up, but I’m sure someone has floated the idea around somewhere).
And truth be told, as is the case with anything involving agriculture or the economy, there’s no single answer. It’s a real chicken and the egg dilemma (sorry. Had to).
Likely, it’s a snowball effect that includes many, many variables.
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Grocery Prices on the Up and Up
Grocery prices have risen across the board, and not just for eggs. They increased by 1.6% per year in both 2017 and 2018, 1.8% in 2019, 3.9% in 2020, 6.3% in 2021, 10.4% in 2022, 2.7% in 2023, and 2.5% in 2024. They’ve jumped 3% already in 2025.
Naturally, it makes sense that eggs have gotten more expensive, too. In January 2024, the average price of eggs was $2.52, and it rose to $4.95 in January 2025.
What really put a ding in the egg industry was avian influenza. In December 2024 alone, outbreaks resulted in the depopulation (culling) of 13.2 million birds, according to the USDA. Interestingly, cage-free and organic hens accounted for a large proportion of the birds impacted by the outbreak (cage-free hens alone accounted for nearly 60% of all bird flu cases last year; perhaps due at least in part to the fact that “cage-free” doesn’t necessarily mean more space or better hygiene, simply a lack of cages for the birds).
I’d argue, however, that the problem was not the disease itself, but the industry’s response to the disease. Just as how panic over supply shortages in 2020 led to the massive shortages of toilet paper, people panicked when they saw headlines about the “potential” for reduced egg supply and, then, ran to the grocery store to buy as many eggs as they possibly could.
Egg Prices and Tariffs
There’s also some connection between egg prices and tariffs.
One plan to lower domestic egg prices was to increase egg imports so that domestic supply shortages would be alleviated. However, as countries like Brazil, South Korea, and Turkey (three of our major sources for eggs) are now facing tariffs, those benefits may no longer exist.
And there’s more going on behind the scenes that you can’t see. As tariffs take place, some industries are trying to sneak in price increases because their customers will assume it’s because of those tariffs (even if they don’t actually exist yet), noted Salonia Vastani, an associate professor of marketing at Emory University in an interview with USA Today.
The Department of Justice is currently investigating large egg producers’ pricing practices, looking at whether these producers conspired to set high prices or limit the supply of eggs to inflate profits. Cal-Maine Foods, the largest egg producer in the United States, is one company under scrutiny.
What’s Next?
It’s going to take time for egg producers to build back up their flocks of healthy laying hens. However, what’s been made clear by this, as many other, supply chain issues, is that there’s truly no better solution than to shop local.
Don’t hedge your bets on the government passing initiatives to lower the price of groceries. Don’t ride the ebb and flow of national trends and policy. As is always my recommendation (and not just because I own a small farm), shop local.
Lew started selling eggs last fall, when his hens that he hatched at home first started producing eggs. This year, they’re producing in large quantities, and while he’s vacillated some on his prices (he started at 50 cents a dozen, then went to $500 a dozen, and has now settled at $3 a dozen - don't worry, that $500 was never a price passed on to the consumer), his main goal is to cover the cost of feed and save up for his “major” life expenses (which at the age of four and a half, is probably just a trip to the arcade - we’re trying to get him to think bigger).
If you’re interested in supporting Lew’s “company,” as he calls it, feel free to send us a message. Otherwise, try to buy your eggs from a local producer, whether it’s a small farm or even just a friend who has some laying hens in her backyard.
Trust me when I say you’re not only getting fresher, better eggs, but also ones that are less likely to shoot up and down in price without warning.
Want to learn more about raising chickens? Be sure to check out these articles!
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