Fueled by the effects of the avian flu epidemic, egg prices in the United States soared to a new record high in February, according to the latest Consumer Price Index.
The index showed a dozen Grade A eggs cost an average of $5.90 in U.S. cities in February, up 10.4 percent from a year ago. That eclipsed January’s record-high price of $4.95.
The avian flu epidemic has led to the culling of over 166 million birds, primarily egg-laying hens. Since the new year alone, more than 30 million egg layers have been culled.
If prices stay elevated, this would mark the third consecutive year of high egg costs leading into Easter on April 20 and Passover, which starts on the evening of April 12.
No major bird flu outbreak has been reported for two weeks, the USDA stated in its March 7 report.
“Shoppers are beginning to see more consistent availability of shell eggs in stores, although prices remain high and discouraging to many,” the USDA stated.
David Anderson, a livestock and food marketing economist at Texas A&M University, said falling wholesale prices suggest retail prices may soon follow, especially as consumers cut back on egg purchases in response to the high costs.
“What that should tell us is things are easing a little bit in terms of prices,” he said. “So going forward, the next CPI report may very well indicate falling egg prices.”
However, significant, lasting price drops won’t happen until bird populations are replenished.
“Record high prices is a market signal to producers to produce more, but it takes time to be able to produce more, and we just haven’t had enough time for that to happen yet,” Anderson said. “But I do think it’s going to happen. But it’s going to take some more months to get there.”
Emily Metz, president and CEO of the American Egg Board, acknowledged the drop in wholesale prices as a positive sign but warned that holiday demand could temporarily push prices back up.
She also mentioned industry concerns over spring migration, given that wild birds are a leading cause of avian flu transmission.
Meanwhile, advocacy groups have called for investigations into whether egg producers unfairly inflate prices under the guise of the bird flu crisis. Producers, however, attribute the high costs solely to the devastating effects of the virus.
This week, the Trump administration also unveiled a plan to combat future bird flu epidemics. The plan includes a $500 million investment in farm biosecurity improvements, $400 million in additional aid for affected farmers, and $100 million to research, including for potential vaccine development for U.S. poultry.
Egg prices remained consistently below $2 a dozen until the virus struck in 2022. The virus flared up again in a Texas dairy farm in March last year. It has since spread to over 1,600 locations across the United States.