Prices and limits spur call for egg inquiry
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Egg case at Aldi on Chicago's North Side. Photo: Monica Eng/Axios
As a new strain of avian flu spreads and egg prices hit record highs, Trader Joe's has placed a nationwide limit on how many cartons shoppers can buy.
Why it matters: Trader Joe's one-carton egg limit adds to existing local restrictions, which include two-carton limits at Aldi and three-carton limits at Whole Foods, where eggs are often sold out.
- The price hikes and shortages make it harder for low-income families to afford the staple and contribute to rising concerns around the disease outbreak and inflation.
Friction point: This week Farm Action, an anti-corporate farmer group, wrote a letter urging the Federal Trade Commission and Department of Justice to investigate claims that large egg companies are leveraging "the crisis to raise prices, amass record profits, and consolidate market power."
- "While avian flu has been cited as the primary driver of skyrocketing egg prices, its actual impact on production has been minimal … The slow recovery in flock size, despite historically high prices, further suggests coordinated efforts to restrict supply and sustain inflated prices," the letter states.
The other side: Axios reached out to Cal-Maine Foods, which was named in the letter, to ask about its record earnings this quarter and charges that it's leveraging the crisis for profit, but did not get a response.
Meanwhile: The Waffle House and some Chicago restaurants, including Wishbone and Cebu have added temporary egg surcharges to some dishes on their menus, WBEZ reports.
The latest: This week the Illinois Department of Agriculture issued a 30-day halt on "the exhibition or sale of poultry at swap meets, exhibitions, flea markets, and auction markets in response to the ongoing threat of H5N1 avian flu."
What we're watching: With the call for an investigation into lower prices, will avian flu continue to morph and spread, and will egg producers restore their previous flock sizes?