Egg shortages, higher prices spike as bird flu grows
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Grocery stores across the nation are experiencing shortages due to the bird flu. Photo: Lindsey Nicholson/UCG/Universal Images Group via Getty Images
The escalating bird flu crisis is ravaging the nation's supply of eggs, leading to increased prices and presenting an immediate challenge for the Trump administration.
Why it matters: An outbreak of avian influenza is growing and has affected nearly 13 million birds in the last 30 days, according to USDA data.
- Some retailers are limiting how many eggs consumers can purchase while others are having a hard time keeping shelves stocked.
- "It's really a crazy situation and an unfortunate situation for consumers because the supply situation is what it is due to the bird flu," Jason Hart, CEO of grocery chain Aldi, tells Axios.
State of play: Egg prices are climbing to new record highs daily, Karyn Rispoli, managing editor for eggs in the Americas for price-reporting service Expana, tells Axios.
- A dozen large eggs in the Southeast and South Central "will be north of $7," while Midwest eggs are $6.95, Rispoli said Tuesday.
- Brian Moscogiuri, a global trade strategist at Eggs Unlimited, an egg supplier based in Irvine, California, told Axios that the "transactional values of eggs are as high as we've ever seen them."
- "Some of the retailers are short because their suppliers have been directly impacted and their replacement cost is extremely high right now because there's not much egg to be had in the market," he said.
Meanwhile, Emily Metz, president and CEO of the American Egg Board, said demand "for eggs at retail has been exceptionally high for a sustained period, and failing to act quickly and identify new ways to fight [highly pathogenic avian influenza, or HPAI] could mean continued challenges for customers and consumers who need the nutritious foods impacted."
What's next: Egg prices are expected to fly to new highs in the coming weeks and months.
- Hart said Aldi is committed to keeping prices as low as possible on eggs, consistent with its general pricing philosophy. "We view ourselves as that shock absorber for the consumer, so wherever we can we hold the line" on prices, he said.
- Walmart, the nation's largest retailer, told Axios in a statement that it "does not have a purchase limit on eggs, and although supply is very tight in some areas, we're working with suppliers to try and help meet customer demand."
What we're watching: It remains to be seen whether the Trump administration will take any action in addition to efforts already underway to address the crisis.
- Last week, the Department of Health and Human Services announced it would give Moderna approximately $590 million to accelerate bird flu vaccine trials.
- The American Egg Board tells Axios it's eager to work with the Trump administration as farmers, distributors and retailers all grapple with egg shortages and price hikes.
- Department of Agriculture representatives did not immediately respond to a request seeking comment from Axios.
Reality check: "There's no real silver bullet for this thing right now, outside of trying to stop the spread of the virus and get birds repopulated as quickly as possible," Moscogiuri said, adding that "farms are doing to their best of their ability."
- "It's unlikely that the new administration will be able to bring about significant change in just a matter of weeks, especially when it comes to the bird flu itself," Rispoli said.
The bottom line: Eggs are considered safe to eat but don't expect them to get cheaper until bird flu is under control.
