Outbreak Behind Egg Price increase
The price of eggs in California has soared to nearly $9 per dozen in some areas, leaving shoppers clutching their grocery receipts in disbelief. Once a humble breakfast staple, eggs have become a luxury item amid a perfect storm of economic and agricultural pressures, with the ongoing avian influenza outbreak at the epicenter of the crisis.
The numbers paint a sobering picture. The USDA reports that the benchmark price for large shell eggs in California shot up to $8.97 per dozen—a staggering jump fueled by dwindling supplies as bird flu continues to decimate commercial layer flocks. The ripple effect is visible on grocery store shelves, where cartons of eggs now carry price tags that seem more appropriate for artisan chocolates than a kitchen staple.
Take Chico, California, as a case study. At Walmart, an 18-count carton of cage-free large white eggs was priced at $9.52, while a dozen came in at $7.22. Over at Safeway, prices were even higher, with an 18-count carton of Lucerne Farms Cage-Free Eggs reaching $12.99. These aren’t outliers—they’re symptoms of a market grappling with profound supply chain disruptions.
The culprit? Highly Pathogenic Avian Influenza (HPAI), a virus that has proven both persistent and devastating. Outbreaks have led to significant flock culls across the country, and every lost hen represents thousands of eggs that will never make it to market. Compounding the issue, these losses come at the worst possible time—peak holiday demand season, when egg consumption traditionally spikes for baking and celebratory feasts.
Kevin Bergquist, Sector Manager at Wells Fargo Agri-Food Institute, explains that this isn’t a sudden or isolated issue. Egg prices have remained stubbornly high since 2022, when the bird flu outbreak first rattled the market. Wholesale egg prices surged nearly 55% in November 2023 alone, and while wholesale costs don’t always perfectly align with retail prices, consumers are feeling the pinch.
The Consumer Price Index offers a broader perspective on the inflationary squeeze. Grocery prices rose 0.5% in November, but eggs far outpaced that figure, spiking by 8.2%. To put it in context: meat, poultry, and fish prices collectively rose by 1.7%. Eggs, it seems, are in a category of inflation all their own.
What’s particularly frustrating for consumers is the sense of déjà vu. In 2022, when bird flu first took hold, egg prices skyrocketed to record levels. At that time, wholesale egg prices were hovering below $1.50 per dozen before the virus upended the supply chain. Today, those days feel like a distant memory.
But it’s not just about numbers—it’s about daily life. Eggs aren’t merely an ingredient; they’re a cornerstone of family breakfasts, holiday desserts, and countless recipes. For families already grappling with rising costs across the grocery aisle, the egg price surge feels symbolic of a broader affordability crisis.
And while experts predict that prices could stabilize once flock numbers recover, the timeline remains uncertain. Bird flu is notoriously difficult to contain, and rebuilding lost flocks isn’t as simple as flipping a switch. In the meantime, California shoppers will likely continue facing eye-watering prices for their morning omelets.