If you work in the egg industry, either in production or marketing, you know that the egg market can be a little bit volatile at times. But here recently, a “little bit” would be a little bit of an understatement. This from Agriculture Department Livestock Analyst Shayle Shagam because eggs, or egg prices anyway, are causing quite a bit of excitement in the food world right now, excitement in the form of skyrocketing wholesale egg prices.
“Supplies of eggs for immediate sale are very, very tight, and what we have seen is wholesale prices that were about $2.57 in July for the New York egg price that we track going up to about $4.14.”
So wholesale egg prices have shot up about 60% and only about a month’s time. And if you look at the wholesale price of eggs one year ago, the spike is more dramatic. Prices this time a year ago were averaging only $1.22 a dozen. So the price hikes have been big ones. Shale Shagam says the main culprit here: avian influenza, which has resulted in the loss of millions of egg-laying hens. The flock, as of this July, numbered 305 million birds…
“Compared to previous year, when they were about 313 million. So a smaller number of birds. As a result, we’re getting a smaller amount of table egg production.”
Much smaller production.
“We are again looking at very tight supplies in July, egg production, with July being the most recent data we have. Table egg production was about 630 million dozen, compared to about 640 million dozen in July of 2023.”
Now looking ahead for all of this year…
“We’re looking at table egg production for 2024 to be very, very close to the table egg production 2023 at about 7.9 billion dozen. And then next year, we’ll see gradual increases reaching about 8.2 billion dozen in 2025.”
And with more production…
“We would expect to see egg prices decline as we move into 2025 with the increased production.”
If we have no more bird flu outbreaks, and that’s a big if.