Synopsis
A significant egg crisis in California is causing record-high prices and forcing food businesses to adapt as a deadly avian flu outbreak ravages poultry flocks. The USDA reports dramatic price increases and limited availability of eggs, leading to creative solutions by restaurants and small businesses.Key Takeaways
- California faces a severe egg shortage due to avian flu.
- Egg prices have more than doubled since 2024.
- Small businesses are struggling to secure ingredients.
- Restaurants are adjusting portion sizes and exploring plant-based substitutes.
- USDA predicts further price increases in 2025.
Sacramento, Feb 8 (NationPress) A significant egg crisis is affecting California and the western United States as a lethal avian flu outbreak continues to ravage poultry populations, pushing egg prices to historical peaks and forcing food establishments to modify their operations.
The wholesale price for cage-free large white eggs soared to $8.65 per dozen in California, while organic brown eggs reached $9.39 per dozen, according to the US Department of Agriculture (USDA)'s Daily National Shell Egg Index Report released on Friday.
The report indicates that egg prices in California have more than doubled since 2024.
Beth, a resident of the Bay Area, revealed her recent difficulties in finding eggs. "I visited multiple grocery stores in my area, but the eggs were either out of stock or excessively priced," she shared.
A visit to a Costco yielded no results, with barren shelves awaiting her. Store employees suggested she come early in the morning for a better chance.
Small businesses are particularly affected by the shortage. At Victoria Pastry Company in San Francisco's North Beach area, co-owner Merie Belluomini voiced her distress about obtaining ingredients for their artisanal baked goods.
"Since late October, prices have been extraordinarily high. Today, I wondered when this would come to an end. We are anxious about not securing any eggs. What will we do?" Belluomini told ABC7 News, as reported by Xinhua.
On Tuesday, Waffle House, a round-the-clock dining chain, introduced a 50-cent surcharge per egg to address the most severe egg scarcity and rising costs seen in decades.
Restaurants are being inventive to manage expenses without losing customers. In San Diego, Breakfast Republic owner Johan Engman told NBC San Diego that they are modifying portion sizes instead of sacrificing quality.
Some venues are investigating plant-based options, with Zareen Khan, owner of Zareen's restaurants in Palo Alto and Mountain View, California, contemplating increased tofu usage as an egg alternative.
The crisis originates from an ongoing outbreak of highly pathogenic avian influenza (HPAI), which, per USDA statistics, led to the culling of over 20 million egg-laying hens in the last quarter of 2024 alone. The virus has caused repeated infection waves since 2022, severely disrupting national egg production.
HPAI outbreaks in commercial table egg layer flocks continue into February, with new cases reported in Ohio and the first case in Pennsylvania, according to the USDA's Weekly Egg Market Overview released on Friday.
Shell egg availability remains restricted in many outlets. To manage supply, grocers are limiting how many eggs customers can purchase, halting sales promotions, and maintaining high prices to manage demand, per the report.
USDA representative Linda Matthews stated that rebuilding flocks is a lengthy process, as newly hatched hens need several weeks to start laying eggs. The agency anticipates that egg prices could increase by an additional 20 percent in 2025.
Brian Earnest, an economist at CoBank, part of the US Farm Credit System, noted in an article that avian flu, which used to be seasonal, now appears to be a year-round issue. "That seasonality seems to have vanished," he remarked, cautioning that tight supply may continue well into 2025, compounded by steady demand increases exacerbating shortages.
Nine US states, including California, currently mandate cage-free housing for laying hens. Approximately 40 percent of US table egg layers are now housed in cage-free systems.
The situation is especially challenging in California due to stringent regulations. The state mandated all eggs to be cage-free by January 2025, further straining an already tight market. This transition, coupled with existing space requirements for hens, has rendered California more susceptible to supply disruptions.
This crisis has sparked calls for enhanced resilience within food supply chains. As California's agricultural sector faces this latest hurdle, experts suggest the situation could lead to enduring changes in consumer habits and industry standards.
