Anticipate skyrocketing egg prices throughout much of the year
Egg prices are set to skyrocket by around 20% in 2025, while food prices in general are predicted to increase by a modest 2.2%, according to the US Department of Agriculture's price outlook. Groceries like beef, coffee, and orange juice will also see price hikes, but eggs are particularly affected by the harsh strain of avian flu that's causing a severe strain on supply.
Despite some states managing to dodge last year's outbreaks, many more reported a resurgence of the virus. In November and December alone, about 17.2 million egg-laying hens fell victim to the virus, which represents nearly half of the birds killed by it in 2024, USDA data reveals.
The price of a dozen large, grade-A eggs leaped from $3.65 to $4.15 in November to December, as per Bureau of Labor Statistics figures. Year-over-year, egg prices soared by over 36% in December, according to the Consumer Price Index.
Emily Metz, president and CEO of the American Egg Board, warned that the avian flu isn't going anywhere anytime soon. With no detection-free period in sight, the tight egg supply will persist. The industry has already endured 20 consecutive months of record-high demand, with the holiday season contributing to the surge and ensuing price increases.
Some stores have started limiting egg purchases to tame the panic-buying trend that results from stock shortages. The USDA pointed out in its egg markets overview that this move will help stretch their dwindling supply.
People recognize the value of eggs, even with a slightly higher price tag, and are finding them indispensable in their daily lives, Metz added.
As long as the avian flu persists, so will the high egg prices. Outbreaks are currently raging in California, Indiana, Missouri, North Carolina, and Ohio, the USDA revealed. Over 8.3 million birds have died due to these outbreaks in January, the USDA stated.
Manufacturers and egg wholesalers have also hiked their prices in recent months. In New York, the wholesale price of large-carton eggs reached $7.24 per dozen, while in the Midwest it climbed to $6.84. Meanwhile, large eggs fetched $8.35 per dozen in California.
The high egg prices are squeezing grocers, with many reluctantly holding on to record or near-record elevated prices. Avian flu outbreaks on egg-laying farms have also reduced the population of young birds required to replenish the losses.
Sources:
[1] USDA’s price outlook (2025)[2] USDA’s egg markets overview (2025)[3] CNN report by Vanessa Yurkevich (2024)
Enrichment Data:
- The price increase in eggs is primarily due to the avian flu outbreak and inflation. The virus has killed over 17 million egg-laying hens in 2024, reducing the supply and leading to higher prices.
- The Midwest, a significant egg-producing region, has been disproportionately impacted by the bird flu, affecting both producers and consumers.
- Inflation is another factor that contributes to the rising egg prices, with general food prices expected to increase by 2.2%, while egg prices could see a much higher growth of up to 20%.
- Manufacturers and egg wholesalers have also increased their prices, compounding the issue and leading to higher prices for consumers.
- The USDA is taking steps to mitigate the impact, such as limiting egg purchases and encouraging producers to hatch more chicks to compensate for the lost birds.
Businesses in the food industry are experiencing challenges due to the avian flu outbreak, with egg prices seeing a significant increase. The American Egg Board is warning that high egg prices are likely to persist as long as the avian flu remains prevalent, affecting egg-laying farms across several states.
