We try not to break them, but right now they are breaking the bank. The price of eggs has exploded well past inflationary levels, and while inflation is putting pressure on the cost of most goods, what is happening with eggs is a direct result of a massive Avian flu outbreak across the country.
According to the Labor Department, the average price of eggs in the past year is up $1.66.
In January of last year, the nationwide average was just under two dollars.
The most recent data from November reports a price of $3.59, an 86% increase in less than a year.
Mark Miller is the President of the Arizona Food Marketing Alliance, a trade association that represents grocery stores in Arizona.
He told ABC 15 that the current Avian Flu outbreak is devastating egg producing flocks. “This is definitely the worst one that I’ve ever seen,” Miller said. “It’s affected us so long, and in such a devastating way with the price increases.”
This is not the first time that Avian Flu has impacted the price of eggs, a large outbreak hit the U.S. in 2015.
At the time the price of eggs shot up a dollar between May and October, prices settled in June of 2016 at under a $1.50 a dozen.
This year’s outbreak started in February and ten months later there is no end in site for price increases.
It comes down to supply and demand.
The US Department of Agriculture publishes weekly data for egg inventories across the country.
During the same week for the last three years, inventories ranged from 1.5 to 1.7 million stocks of 30 dozen cases.
The most recent report published January 3 shows inventory levels 27% lower. An inventory level of 1.3 million cases.
Miller said that grocery stores are doing all they can to keep prices down, but they do need to ensure that shelves are stocked. “The ads probably aren’t quite as low as we’re used to seeing, because they want to guarantee that they have inventories for all their customers that come into their stores. Or they’re doing their best to satisfy their customers.”
The price of specialty or organic eggs has not increased at the same pace as white shelled commodity eggs most consumers buy. This is mainly due to those eggs being purchased by retail chains at an annual contracted price.
